Overview
Dick’s Drive-In, a regional fast-food chain in the Seattle area with about 300 employees, introduced a generous early childhood education scholarship program for its employees.
Key Impact Metrics
-
$8.4M
in total funds provided
-
94%
retention rate among recipients
-
300
employees eligible
Problem
As Dick’s Drive In’s workforce shifted to include more parents over time, the company found traditional benefits were insufficient with employees' expanding needs. Many employees with school aged children struggled to find flexible before and after school care that accommodated restaurant shifts. Without support, the time and financial stress forced many capable workers—especially mothers—to leave. This contributed to high turnover in a tight labor market. The lack of affordable, adaptable childcare options became a barrier both to retention and recruitment.
Solution
Dick’s Drive-In created the Childcare/ECE Scholarship fund, a scholarship that provides employees with funding to enroll their children in licensed childcare centers. This program begins with an employee receiving $5,000 a year for the first two years, and $9,000 a year for the following two years. Employees must have worked at least 20 hours a week for at least six months to qualify.
Results
- Beneficiary Impact2x increase in tenure among recipients
- Employee Impact94% retention rate among recipients
- Financial Results$28,000 offered over four years
Replication Tips
- Determine stipend size and structure: Tailor the amount to meaningfully offset childcare costs in your area. Dick’s chose an aggressive $7,000 average per year.
- Integrate with other benefits: Dick’s also offers college scholarships. A comprehensive approach to employee growth and family support amplifies retention.
Suggested Implementation Timeline
~5-8 months
