Wellstar Health’s On-Site Childcare

Challenges

Access, Worker Issues

Location

Georgia

Stakeholders

Businesses

Beneficiaries

Parents, Children

Overview

Wellstar Health, a large healthcare system in Georgia, operates multiple on-site childcare centers for its hospital employees.

Key Impact Metrics

1.5%
annual turnover rate for Wellstar employees utilizing on-site child center
92%
of Wellstar employees say the company’s childcare makes Wellstar a better place to work

Problem

Hospitals face acute workforce retention challenges, especially among nurses (mostly women) who juggle long, irregular hours and family duties. Wellstar observed that many nurses and staff with young children either went part-time or left the profession due to childcare conflicts—daycare hours rarely matched 12-hour hospital shifts, and finding care for nights or weekends was nearly impossible. In exit interviews, lack of reliable childcare was frequently cited. During COVID-19, this reached crisis levels, with two-thirds of local childcare centers closing at one point.

Solution

Wellstar Health opened three childcare centers—branded as Learning Academies—near its hospital campuses. They are managed by Bright Horizons and designed with healthcare shifts in mind, offering extended hours and the capacity for back-up care on short notice. Childcare costs are subsidized. Moreover, Wellstar also provides the opportunity for at-home care if an employee’s child is too sick to be at the on-site daycare.

Results

Beneficiary Impact
2K in collective workdays saved by employees
Employee Impact
92% employee approval rate of childcare policy
Financial Results
~$500K saved by Wellstar in costs associated with childcare

Replication Tips

Engage leadership and quantify ROI: Use data to convince leadership of the benefit. Wellstar’s internal study showing 7x higher retention with on-site care was key.
Tailor to workforce schedule: For 24/7 employers like hospitals, standard daycare hours will not fit everyone. If true 24-hour care isn’t feasible, combine extended hours centers for day shifts with robust backup care for nights/weekends. Wellstar’s model of offering in-home care for sick child days or off-hours filled the gap.
Leverage tax incentives: Small and mid-size employers should capitalize on government incentives. The federal Employer Child Care tax credit can reimburse 25% of facility expenses up to $150,000. Some states offer grants or credits as well. These significantly reduce net costs for on-site centers.