More companies offer on-site child care. Parents love the convenience, but is it a long-term fix? (2024)

Table of Contents
___ ___ ___ ____ FAQs References

LAS VEGAS (AP) — They operate in places like an airport, a resort, and a distribution center, tucked away from the public eye but close enough for easy access. They often emit laughter — and the sound of tumbling blocks, bouncing balls, and meandering tricycles.

They’re child care centers based at workplaces. And in the fraught American child care landscape, they are popping up more frequently.

Skyrocketing child care costs and staffing shortages have complicated arrangements for working parents. Some have left jobs after struggling to find quality care. Employers, in turn, view their entry into the child care realm as both a competitive advantage and a workplace morale booster.

“In the absence of government intervention and investment, a lot of businesses have been stepping up to make sure that their employees can access affordable child care,” says Samantha Melvin, an assistant research professor at the Erikson Institute, an independent graduate school for early childhood education.

___

This series on how the child care crisis affects working parents — with a focus on solutions — is produced by the Education Reporting Collaborative, a coalition of eight newsrooms, including The Hechinger Report, AL.com, The Associated Press, The Christian Science Monitor, The Dallas Morning News, Idaho Education News, The Post & Courier, and The Seattle Times.

RELATED COVERAGE

Day care prices aren’t getting better. So states are stepping in

Can you afford to take care of your children and parents? Biden revives effort to lower costs

___

Parents benefiting from child care at their work sites praise its convenience and affordability.

Frances Ortiz, who works in accounting at The Venetian Resort Las Vegas, can’t imagine a better option. She says her 3-year-old daughter has gained independence and language skills — with mom not far away — at the property’s on-site child care center for employees.

“She runs in here,” Ortiz says. “She grabs my badge. She has to open the door for herself.”

In September, the Pittsburgh International Airport added an on-site child care. The center serves children of Allegheny County Airport Authority employees as well as those of select airport workers, such as food and beverage workers, ground handlers, and wheelchair attendants.

Airport officials say the idea stemmed from wanting to bring more women and people of color into the aviation workforce. Plus, the airport sits 17 miles (27 kilometers) outside of downtown Pittsburgh, making child care logistics challenging for employees. So far, it’s operating at about half capacity.

“It’s certainly an important proof point to our team that we mean it when we say that we’re invested in them and in what they need,” says Christina Cassotis, CEO of the Allegheny County Airport Authority, which operates the airport.

Child care costs can eclipse rent or mortgages, if parents can access care in the first place. Many find themselves on waitlists.

Experts caution against an overreliance on businesses filling the void. Philip Fisher, director of the Stanford Center on Early Childhood, says doing so could undercut efforts to recognize child care as a public good.

“There’s a lot of well-intentioned people who are thinking this is a really good idea, and for those who would benefit from it, it could be,” he says. “Again, there are lots of downsides even in the short term.”

One of those potential pitfalls, he says, is instability if a parent suddenly loses their job and then has to find new child care and a new job.

The assistance offered by public and private employers runs the gamut. Some run their own centers. Others outsource the operations and management.

The financial arrangements also differ. Many companies and organizations don’t disclose the exact discounts offered to employees.

Walmart, for instance, recently opened an on-site child care center at its massive Bentonville, Arkansas, campus. The Little Squiggles Children’s Enrichment Center charges a monthly rate of $1,117 to $1,258, based on the child’s age, which company officials tell the Monitor in an email is “at market rate or below regional levels for comparable care.”

Another method gaining steam: employers providing subsidies for families to use toward child care options within their own communities.

KinderCare, a large child care operator with locations nationally, partners with more than 600 businesses and organizations to provide employee-sponsored child care, up from 400 in 2019, says Dan Figurski, president of KinderCare for Employers and Champions. Those employers represent the technology, medical, banking, academic, and public service industries, among others.

In Nevada, The Venetian Resort’s child care center, run by KinderCare, sits in a back-of-house hallway steps away from the Las Vegas Boulevard.

All employees can enroll their children, as long as space allows, at a cost that’s generally 35% to 40% lower than KinderCare’s normal rate, says Matt Krystofiak, the Venetian’s chief human resources officer. The company also offers subsidies for employees who want to enroll their children in an off-site KinderCare closer to their homes.

“We’re doing this because this is what our team members want,” Krystofiak says. “This is what our team members need.”

Some businesses view investments in child care as a reflection of their company culture.

Patagonia’s foray into child care began in 1983 when some of the company’s original employees started having children. As the clothing retailer grew, so did its child care footprint. Nowadays, it operates three child care centers — two in southern California and one in Reno, Nevada — serving roughly 200 children.

The company charges employees in each location what leaders describe as an “average market rate.” Subsidies are available based on household income, says Sheryl Shushan, Patagonia’s director of global family services. The child care teachers are employed by Patagonia, so they receive corporate benefits as well.

At the outdoor classroom at Patagonia’s distribution center in Reno, children spend hours digging in sand, riding bikes, playing with water, or climbing natural and human-made objects. Patagonia leaders say the benefits on their end are stronger employee retention, a can-do spirit in the workplace, and a greater sense of community.

For Alyssa Oldham, a classroom manager in Reno, the job and child care benefit meant rethinking her family size. She and her husband originally envisioned being a one-child family, given child care costs.

Now she comes to work with her 4-year-old son and 1-year-old daughter.

“Working here, I was like, ‘We could have another child,’” she says.

___

Join us Wednesday, May 22, at 3:30 EST for an Education Reporting Collaborative event led by the Seattle Times and AL.com, focused on the child care crisis and how to fix it. Panelists include Sen. Katie Britt (R-Ala.), Sen. Patty Murray (D-Wash.) and Lisa Hamilton, CEO of the Annie E. Casey Foundation. Follow this Facebook event for details.

____

The Associated Press’ education coverage receives financial support from multiple private foundations. AP is solely responsible for all content. Find AP’s standards for working with philanthropies, a list of supporters and funded coverage areas at AP.org.

More companies offer on-site child care. Parents love the convenience, but is it a long-term fix? (2024)

FAQs

What are the disadvantages of on-site daycare? ›

One large con with the onsite daycare involves the injury with any child that resides at the daycare during office hours. The injury itself could lead to other legal concerns that arise with the business or with the family. The severity, who is to blame and liability concerns are important aspects of these situations.

What is one benefit of on-site daycare services for employees? ›

Reliable on-site care programs help to avoid breakdowns in care, reduce commute times, and allow workers to concentrate more fully on their jobs.

How some companies are making child care less stressful for their employees? ›

Establishment of On-site Child Care Centers: These are facilities within the workplace that look after employees' children while they are working. This convenience can drastically reduce the stress of balancing work and child care responsibilities.

What are the weaknesses of a daycare? ›

Your daycare's strengths might include a well-trained staff or excellent facilities, while weaknesses could be a lack of funding or limited outdoor space. Opportunities could emerge from community demand for quality childcare, and threats might include regulatory changes or competing daycare centers.

What are the negative effects of daycare? ›

By third grade, children who had experienced more cumulative hours of child care across their first 4.5 years of life were at increased risk for fewer social skills, poorer work habits, problem behaviors, and teacher conflict, especially if they had been in day care centers.

Why do people want to work at a daycare? ›

Working in child care gives you the ability to make a difference in children's lives by helping and teaching them in this early stage of development. You may get to experience the joys of seeing your students grow and improve.

What are two benefits of childcare in a caregiver's home? ›

Personalized Care: Family child care providers are often able to provide more personalized care for each child, as they get to know each child's unique needs and interests. Family-like Setting: Family child care homes provide a family-like setting that can be particularly beneficial for younger children.

Why is childcare important to employers? ›

Business cost-savings due to lower employee turnover, less worker absenteeism, more productive workers on the job due to reliable high-quality care, and the ability to more effectively recruit productive workers, all of which saves significant labor costs.

What company has the best benefits? ›

Uber, Microsoft, Meta top the list of companies with the best perks | Employee Benefit News.

What are 3 pros of having your children go to a daycare center? ›

Of all the benefits of daycare, the social and emotional advantages infants and toddlers receive are most clear. Kids in child care get to socialize, make friends and develop skills like sharing and cooperation during the most formative years of their lives.

Why are childcare workers quitting? ›

How Do We Bring Them Back? Many early childhood educators—the individuals responsible for making employment possible for most parents—are leaving the workforce for good. Low pay, demanding work, and a lack of benefits are driving child care workers to other industries.

Do 58% of working parents rely on child care centers? ›

The US has over 634,000 day care centers. 58% of working parents with children five & younger — or about 6.38 million parents across the nation — use center-based child care options, according to estimates from the National Household Education Survey.

What is the downside of daycare? ›

Costs can also creep up if you're late picking up your child, or if she is sick and you miss work or pay someone else to stay home with her. High Turnover – This is a common drawback of childcare programs, especially for infants, who rely on attachment to caregivers for optimal development.

What are the disadvantages of daycare units? ›

The "cons" of daycare

First, it's difficult to get a subsidized space (unsubsidized spaces can be quite expensive). Being stressed out about your childcare during your mat leave.. well, that's not very fun ! The day care is often noisy. For a child of 4 years, it's fine, but for a 1 year-old, quiet is still important.

What are the cons of center based childcare? ›

Inflexible Hours—While daycare offers dependable care, it doesn't necessarily offer flexible care. Daycare centers have set hours that may not match parents' work hours or accommodate a parent's need to stay late at work. Centers that offer late pick-ups often charge a premium for the convenience.

References

Top Articles
Latest Posts
Article information

Author: Terrell Hackett

Last Updated:

Views: 6460

Rating: 4.1 / 5 (72 voted)

Reviews: 95% of readers found this page helpful

Author information

Name: Terrell Hackett

Birthday: 1992-03-17

Address: Suite 453 459 Gibson Squares, East Adriane, AK 71925-5692

Phone: +21811810803470

Job: Chief Representative

Hobby: Board games, Rock climbing, Ghost hunting, Origami, Kabaddi, Mushroom hunting, Gaming

Introduction: My name is Terrell Hackett, I am a gleaming, brainy, courageous, helpful, healthy, cooperative, graceful person who loves writing and wants to share my knowledge and understanding with you.