April 15, 2026

Child Care Disruptions Create Up to $70 Billion Opportunity for U.S. Businesses

written by
Moms First, McKinsey & Company

The U.S. child care crisis is quietly costing businesses up to $70 billion annually in lost workforce output, with the majority of impact concentrated among foundational workers who power essential industries. Despite the cost, child care benefits remain a major missed opportunity—only ~15% of employers offer them.
Based on a national survey of ~1,700 parents, this work quantifies how child care instability drives absenteeism, non-participation, attrition, and presenteeism—ultimately leading to measurable economic cost. Its analysis shows that targeted employer-led interventions to reduce these disruptions can deliver universally positive returns on investment, ranging from averages of 5% to nearly 300% when feasibility and employee preference are aligned.
Solving the child care crisis will take serious and sustained growth in public investment, but businesses can act now to reduce costs and support the working parents who make it all possible.

The implication is straightforward: Child care is essential workforce infrastructure, and companies that
act now can convert hidden losses into measurable returns.

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