Labor shortage is leading more companies to explore this employee benefit


On-site day care is uncommon in American workplaces, but new federal incentives and companies eager to attract and retain talent could soon make that benefit more common, according to The Wall Street Journal. 

The Biden administration last week outlined a novel proviso in its $53 billion plan to revitalize the U.S. semiconductor industry. Chipmakers seeking manufacturing subsidies under the Chips Act are expected to ensure employees have access to affordable, quality child care. It didn’t spell out how companies should provide or pay for the care, but the “commitment will be essential to getting people—especially women—into the workforce,” the Commerce Department says.

Though relatively small in number, more employers are acting on that sentiment and providing child care, according to the Best Place for Working Parents, a network of 1,700 businesses promoting family friendly employer policies. Nearly 11% of the network’s members provided on-site child care between April 2021 and September 2022, either on their own or run by outside providers. That share is up from 9.3% in the first year of the pandemic, and 5.5% in the months before pandemic lockdowns began in March 2020.

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