The cost of raising children is expensive.  Since Covid-19, expenses on such things as diapers, food, clothes, housing, health care, and so on, continue to cost more.  For those that must work, the quest to find quality, affordable childcare is virtually impossible. This isn’t a new problem but with rising costs and the demand exceeding the availability of childcare, this challenge has gotten much worse.  The cost of childcare and lack of availability has become a barrier to workforce participation.  This problem has gotten so bad that it’s affected the recruitment and retention of employees in almost every industry.

 

In Virginia, the weekly average cost of formal childcare ranges from $100 to $400 per week, depending on where you live.  With the cost of childcare exceeding a paycheck’s ability to cover the expense, families are being forced to decide between working or staying home.  The affordable childcare crisis isn’t confined to urban and suburban regions.  The crisis is much worse in rural communities, where lack of density and proximity means there are minimal to no childcare options.

 

The childcare crisis is not only a Virginia problem, but a national problem that’s impacting families and employers.  The impact on employers is not only being felt by lower-wage industries like the service, retail, and hospitality.  It’s also affecting higher wage industries, like manufacturing, financial services, health care, and engineering to name a few.

 

Rarely considered, the affordability and availability of childcare has altered the narrative around business attraction and retention.  This crisis has prompted business communities to work collaboratively with local, regional, and state economic development organizations and governments to reframe the conversation of affordable childcare.  Rather than being viewed as community development, affordable childcare is now firmly tied to workforce and economic development considerations.

 

It’s not enough to have pad-ready sites and spec buildings, or a highly skilled workforce to attract and retain businesses and industry.  The connective tissue of quality, affordable, and available childcare figures into the strategic plnanning for companies, along with quality of life, quality of education, and cost-of-living.

 

Recent survey research by the Virginia Early Childhood Foundation found close to universal support for making childcare more accessible and affordable.  Efforts are underway to address the crisis, including a February fly-in organized by U.S. Chamber of Commerce to meet with members of Congress.  The Alliance was a participant.

 

At the state level, Governor Youngkin’s Administration has prioritized making childcare more affordable and available over the course of his term.  In 2024, Governor Youngkin signed into law a series of legislation to remove barriers to childcare, increasing the availability of childcare, and reducing the cost.  In the Lynchburg region, a group of stakeholders have been working on an innovative approach that would provide affordable childcare, provide pediatric nursing students with valuable clinic hours, and offer those interested in becoming a childcare provider small business development support and training.  All these efforts have the underlying goal of addressing the availability and affordability of childcare and enabling more workforce participation.