A Guide to Child Care Services
Employers and child care
By Samantha Wecota
The arrival of a baby at home often means the arrival of headaches at work. Suddenly the problem of absence of affordable and dependable child care comes crawling in.
A few companies are modifying company work rules and benefits programs to accommodate the working parents they employ. Perhaps more companies will join as their options for a work force deplete and they must devise a plan to attract and retain working parents.
However, today fewer than 10 percent of American employers provide any type of child care aid. Of those who do more than half offer help through dependent spending accounts with a flex plan, 750 sponsor child care centers, and 80 offer child care information or referral services.
Employers’ Dilemma
There are many reasons employers are reluctant to provide assistance with child care. The biggest reason they are reluctant is cost, with liability following closely behind. Other major reasons included lack of commitment from top management and unfamiliarity with child care options. Top management is usually unsympathetic of child care problems because their children are grown and out of the house.
More concerns companies have are lack of information about what kind of child care assistance their employees need. Another is the desire to provide equal benefits to their employees whether they have children or not.
Some of the concerns companies have about putting in an on site day care are cost and liability, or perhaps there is just not enough space. There are alternatives to an on site day care that would still assist employees with child care. Some ideas that are less expensive and complicated might be flexible benefits, flexible work schedules, or parenting seminars.
For the issue of offering equal benefits some worry their non-parent employees may protest the company's child care benefits, but more often it is the parents that are unable to use the benefits for some reason that are complaining. Many protests can be prevented by having flexible benefits where employees with out children are able to substitute other benefits such as, elder care, more life insurance, or more vacation days for child care benefits.
Compromise is Key
An appealing benefit for both employers and employees is a "spending account" or "tax savings account" with these benefits employers are able to set aside a certain portion of employee's salaries in pre-tax dollars. Employees may then use these accounts for such benefits as child care. The company also benefits from the tax savings which usually covers the cost of the program.
These are a few ideas for company to have the option of assisting their employees with child care with out having to spend a lot of money or assume the responsibility of having an on site day care.