Untapped Potential: Economic Impact of Childcare Breakdowns in the U.S.
High-quality childcare supports children's development and enables parents to advance professionally, boosting workforce productivity. When childcare systems fail, it hinders both children’s opportunities and parents’ participation in work or education, with significant economic consequences. Accessible, comprehensive childcare remains an urgent need.
The U.S. Chamber Foundation conducted studies in states across the country to better understand the impact of the childcare problem in their communities. The reports estimated that collectively, states lost billions of dollars in economic activity due to breakdowns in childcare.
Featured Reports
Untapped Potential: South Carolina
New research shows childcare gaps cost South Carolina nearly $1 billion each year in lost economic potential.
Examining Breakdowns in Care, Implications for the Economy
The U.S. Chamber Foundation partnered with the Florida Chamber Foundation to produce this report, which aims to address the unique needs of working parents in Florida by exploring the current childcare landscape.
State Reports
- Getting Working Parents Back to Work in MichiganThe U.S. Chamber Foundation partnered with the Grand Rapids Chamber, the Michigan Chamber of Commerce, and the Early Childhood Investment Corporation (ECIC) on this report, to understand the unique needs of working parents in Michigan by exploring the current childcare landscape.Read the Report
- Supporting Childcare Solutions to Unlock Economic PotentialThe U.S. Chamber of Commerce Foundation partnered with United Way of Salt Lake, Voices of Utah Children, and the Salt Lake Chamber of Commerce on this report to better understand the unique needs of working parents in Utah and examine the current childcare landscape.Read the Report
- Untapped Potential Report: AlaskaThis report underscores the unique needs of working parents in Alaska and examine the current childcare landscape. Since the height of the pandemic, Alaska’s unemployment rate has slowly started to return to pre-pandemic levels, falling by more than five percentage points since April of 2020.Read the Report
Untapped Potential in the News
Lack of affordable child care costs SC economy $1B annually, chamber study finds
Half of working South Carolina parents missed work at least once in three months for lack of child care. One in 10 reported quitting their job or getting fired, according to a survey by the state Chamber of Commerce.
Missouri House Approves Child Care Tax Credit Bill
The Missouri House is one step closer to passing a bill that plans to incentivize childcare funding and help childcare providers.
Latest Content
- The U.S. Chamber of Commerce Foundation today released a report examining the impact of childcare issues on Iowa’s state economy. The study found that Iowa loses an estimated $935 million annually for the state’s economy. This number includes an estimated $153 million annual loss in tax revenue as well as an estimated annual loss to Iowa’s employers of $781 million on absences and employee turnover as a result of childcare breakdowns.The U.S. Chamber of Commerce Foundation today released a report examining the impact of childcare issues on Idaho’s state economy. The study found that Idaho loses an estimated $479 million annually for the state’s economy. This number includes an estimated $65 million annual loss in tax revenue as well as an estimated annual loss to Idaho’s employers of $414 million on absences and employee turnover as a result of childcare breakdowns.Billion Dollar Problem: Working Parents Leave Workforce, Postpone School Due to Childcare ChallengesBuilding on the work of other states, we partnered with the business communities in Idaho, Iowa, Mississippi, and Pennsylvania and their early education partners to understand just how much breakdowns in childcare cost each state. In this study we looked at the causes of childcare challenges as well as motivations behind why parents select various childcare providers. Knowing many employers want to facilitate more access to childcare but do not know where to begin, we sought to learn what types of childcare benefits working parents desire most from employers.
