October 12, 2023


The U.S. Chamber Foundation partnered with the Arizona Chamber on this report to better understand the unique needs of working parents in Arizona and examine the current childcare landscape. Arizona is one of the ten fastest growing states in the nation and is positioned to emerge from the pandemic with a strong and vibrant economy. However, as the population increases, finding and affording childcare will become an even larger issue for parents who are eager to enter the workforce. Without suitable childcare options, many Arizonans will be forced to exit the workforce, which has negative financial impact for their household and the state’s economy.

Our report estimates that Arizona loses $1.77 billion annually due to childcare breakdowns

Progress is being made in Arizona, and the Chamber Foundation is committed to supporting these positive steps forward. To do so, partnerships between early education advocates and the business community are vital to ensure that Arizona’s children, families, businesses, and economy are strong. The persistent childcare challenges will not be fixed overnight, and they won’t be remedied by a single sector. It is our hope that this report and the data it presents provide a better understanding of the challenges being faced and create opportunities for partners to discover the solutions.

Key findings in Arizona:

  • An estimated $348 million is lost annually in tax revenue due to childcare issues
  • Approximately 6 percent of parents voluntarily left a job due to childcare issues
  • Thirty-four 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
  • Fifty-five percent of parents who voluntarily leave their jobs do so when their child(ren) is two years old or younger, indicating that childcare for infants and toddlers is the greatest need