Transforming Child Care: Business Partnerships and Community Collaborations Tackle Affordability Crisis

Child Care Aware® of America, a national nonprofit, tackles critical child care issues across the U.S. CEO Susan Gale Perry discusses challenges in childcare affordability and workforce compensation with Aaron Merchen, Senior Director of Early Childhood Education Policy and Programs at the U.S. Chamber of Commerce Foundation. 

The Role of Child Care Aware of America 

Perry explains that CCAoA supports around 400 state and community organizations, providing resources to build and sustain childcare programs. “We help families find and pay for childcare and build the supply of quality childcare by helping new programs get started,” Perry notes. 

Additionally, CCAoA serves active-duty military members through specialized programs, including respite care for children with special needs. The organization also engages in policy and advocacy work, aiming to address the broader systemic issues in the childcare sector. 

Challenges in the Child Care Sector 

Perry highlights the significant challenges facing the childcare industry, including the high cost of care and the low wages for child care workers. “We know that the average cost of child care is upwards of $12,000 a year for just one child, while our childcare workforce only earns, on average, $14 an hour,” she says. This mismatch creates a dilemma that requires collective action to solve. 

The multifaceted nature of childcare means that solutions must address various aspects simultaneously, including supply, workforce development, and facilities. Perry emphasizes how important a holistic approach is: “You can’t just look at supply, you can’t just look at the childcare workforce, you can’t just look at facilities. You kind of have to look at everything all at once.” 

Community and Business Involvement 

The business community plays a crucial role in addressing childcare challenges. Perry is excited about the increasing involvement of businesses and chambers of commerce in supporting childcare initiatives. “Businesses and chambers across the country are stepping up to recognize that childcare is an issue for their employees and their communities,” she says. 

One promising model is the Tri-Share approach, where businesses, public funding, and families each pay a third of the childcare costs. This model has been implemented in states like Michigan and North Carolina.  

Another example is in Iowa, where businesses collaborate to invest directly in the pay of the childcare workforce, with additional support from state funds. 

Uplifting the Child Care Profession 

Perry stresses the importance of recognizing and supporting the childcare workforce. “Without child care providers, without early childhood educators, there is no child are.” 

She talks about how businesses can play a significant role in workforce development by advocating for training and credentialing systems and investing in competitive wages and benefits for childcare workers.