‘Work Hours Lost By The Millions:’ A New Index Is Tracking The Cost Of The Child Care Crisis
- A new index revealed that 1.6 million employees in the U.S. either reduced working hours or transitioned to part-time roles due to child care problems as of September 2024.
- The financial strain of child care is particularly heavy on women, who account for 90% of those affected, with annual costs now exceeding average rent in all states.
- Understanding the implications of lost work hours is crucial for businesses to mitigate the hidden costs associated with talent turnover and absences.
In the United States, a newly developed index shows that 1.6 million employees worked fewer hours or switched to part-time work in September 2024 due to child care issues. This significant statistic highlights the struggles faced by many, particularly women, who make up 90% of the workers affected by such problems. The findings reveal that child care costs have surpassed annual rent costs across all 50 states, pointing to a looming crisis that businesses need to address. Employers are unaware of the full impact on productivity and talent retention as absenteeism due to child care challenges leads to increased turnover costs. The index aims to help businesses grasp the magnitude of lost work hours, which contributes to financial losses both for individuals and employers. Research indicates that among those affected, 70% are women aged 25 to 44, who traditionally bear the brunt of these responsibilities. However, the number of men facing similar challenges is on the rise, suggesting a shift in demographics over time.