Employers who reimburse or subsidize employees’ child care pay all or part of approved arrangements and/ or reserve slots at particular facilities for employees’ children. Through child care referral, employers offer resources to parents to help them find child care in the area.
Benefits to Employers
- Increases retention, reducing turnover costs
- Reduces employee tardiness and absenteeism
- Increases employment of women
- Increases employee loyalty
Benefits to Children
- Improves overall health
- Improves education
Benefits to Parents/Families
- Improves family economic security
- Provides an option for summer care for school-aged children
Child care can be subsidized in a number of ways. Examples include:
- Subsidizing the cost of care at an on-site center.
- Paying membership fees for an online emergency or back-up care service.
- Contributing to employees’ dependent care reimbursement accounts.
- Establishing relationships with child care providers and offering a discount to employees who use providers from the network.
