“No one should have to choose between caring for a child and paying the bills. This important data from the U.S. Chamber of Commerce and Missouri Chamber of Commerce echoes our Missouri Town Hall Report findings and highlights the childcare challenges that exist for families in Missouri and across our country. For many women, the cost of care equals or surpasses their monthly income, making it hard to justify staying in the workforce. By generating innovative solutions we can boost women’s participation in the labor force and grow our American economy”
A new report has revealed that childcare challenges are costing Missouri an estimated $1.35 billion annually for the state’s economy, including a $280 million annual loss in tax revenue.
The Untapped Potential in Missouri report, jointly released by the U.S. Chamber of Commerce Foundation and the Missouri Chamber of Commerce and Industry — and in partnership with United WE — sheds new light on an issue that is contributing to workforce challenges employers are facing today. In fact, the report found that 28 percent of respondents reported that they or someone in their household has left a job, not taken a job, or greatly changed jobs because of problems with childcare in the last 12 months.
“As we work to achieve a strong recovery from the COVID-19 pandemic, it’s clear that the availability of workforce is a crucial challenge — with childcare remaining a significant barrier for many Missourians who want to work. This new report brings to light that childcare issues are costing our state more than a billion dollars annually,” said Daniel P. Mehan, president and CEO of the Missouri Chamber of Commerce and Industry. “While this is a complex subject, the business community is ready to lead as we explore ways to address childcare challenges and their subsequent impact on our state’s workforce.”
As a partner in the study release, United WE shares the concern about how childcare issues affect Missouri’s economy as well as the impact on individual families.
“No one should have to choose between caring for a child and paying the bills. This important data from the U.S. Chamber of Commerce and Missouri Chamber of Commerce echoes our Missouri Town Hall Report findings and highlights the childcare challenges that exist for families in Missouri and across our country. For many women, the cost of care equals or surpasses their monthly income, making it hard to justify staying in the workforce. By generating innovative solutions we can boost women’s participation in the labor force and grow our American economy,” said Wendy Doyle, President and CEO of United WE.
Key findings from the 2021 report include:
Childcare gaps result in massive economic losses for Missouri. Childcare issues result in a total estimated loss of $1.35 billion in Missouri, including an estimated $280 million lost annually in tax revenue.
Some Missouri parents are leaving their jobs due to childcare issues. Approximately 9 percent of parents surveyed voluntarily left a job due to childcare issues.
Childcare issues are significantly affecting parents’ job decisions. Of respondents surveyed, 28 percent reported that they or someone in their household has left a job, not taken a job, or greatly changed jobs because of problems with childcare in the last 12 months.
The greatest need is for infant and toddler care. Of parents who voluntarily leave their jobs, 57 percent do so when their child(ren) is two years old or younger.
The “Untapped Potential” series examines childcare challenges and issues in five U.S. states—Alaska, Arkansas, Arizona, Missouri, and Texas—building on reports released in 2020 on Iowa, Idaho, Mississippi, and Pennsylvania.
“While the impact is different in each of these states, these studies show the urgency needed in addressing childcare issues across the country,” said Cheryl Oldham, senior vice president of the U.S. Chamber of Commerce Foundation Center for Education and Workforce. “The challenges in the childcare system are complex, but solvable — and addressing them comprehensively, in ways that consider the needs of parents, businesses, and providers, will be central for the nation’s long-term economic success.”