5 Key Quotes from The U.S. DEPARTMENT OF THE TREASURY’s Report “THE ECONOMICS OF CHILD CARE SUPPLY IN THE UNITED STATES”
The United States Department of Treasury recently release a new report titled “THE ECONOMICS OF CHILD CARE SUPPLY IN THE UNITED STATES.“ You can read the full report at this link: The-Economics-of-Childcare-Supply-09-14-final (treasury.gov)
Below are 5 key quotes from the report.
1. “Across the United States, child care workers are paid little and have high rates of turnover, and many report experiencing high stress and economic insecurity. In turn, most early childhood education workers lack collective bargaining rights, making it difficult for them to advocate for better working conditions.51 By contrast, unionization rates are much higher among K-12 teachers. The Center for the Study of Child Care Employment reports wages for the more than 1,000,000 workers in the sector, covering both licensed and some informal care providers.52 With average annual pay of $24,230, child care workers are in the second percentile of all occupations. Based on these low wages, more than 15 percent of child care workers are below the poverty line in 41 states, and almost 35 percent are below the poverty line in the District of Columbia. Similarly, nearly half of child care workers use public assistance, such as the Children’s Health Insurance Program (CHIP), Supplemental Nutrition Assistance Program (SNAP), and TANF (page 14)”
2. “Nationally, the total value for the child care services market in the United States was estimated to be $60 billion in 201928 – about 0.25 percent of GDP – although many children were cared for by unpaid nonparental adults. As another data point, one in every 110 workers29 – and one in every 55 female workers30 – makes a living in early childhood education and care (Page 7)”
3. “Several researchers from the University of Virginia set out to study the link between pay and provider retention in detail.58 They offered teachers at a randomly selected set of sites $1,500 if they stayed in their current position. They found that nearly a quarter of teachers who were not selected to receive payments were no longer at their sites after eight months. These modest bonuses had large impacts, cutting departures nearly in half to 13 percent. In follow-up surveys, the teachers described how they used their retention payments, and their statements illustrate the economic insecurity some early childhood educators face. One shared, “My family and I were struggling, and I have debt from being a single mom. The program helped me considerably.” Another explained, “It meant I could continue to go to work and not worry about food, car bills, or my child’s care.” A third wrote, “The grant helped me keep a roof over my head and food on my table and my medication because I’m a diabetic.” (page 15)”
4. “the 2018-2019 National Survey of Children’s Health reported that the parents of two million children under the age of 5 “had to quit a job, not take a job, or greatly change their job because of problems with child care.”25 Although some employers recognize the costs of absences and turnover and provide onsite child care, referral services, or vouchers, not all employers are large enough to justify the costs of offering child care-specific benefits or setting up and running a child care facility (Page 6)”
5. “a 2011 statewide study conducted in Massachusetts found excessive levels of carbon dioxide in child care facilities throughout the state, as well as insufficient ventilation systems and furnishings that contained formaldehyde. The study also found that nearly 70 percent of programs lack classroom sinks, which has negative impacts on infection control and children’s hygienic practices.72 The report concluded that, “the challenges plaguing child care facilities are part of a greater infrastructure problem in the United States. Page 18”
