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Are unemployment benefits or lack of affordable child care options keeping parents home?
As things open back up, employers are struggling to fill positions. Is this because people don’t want to come off unemployment benefits or because parents are unable to find child care that fits?
Tens of thousands of child care facilities across the country have shut down due to the pandemic. Covid-19 rendered most child care facilities empty. Unlike schools, licensed child care facilities are business entities, either operating from a provider’s home or from a commercial center. Licensed child care providers are considered essential workers; however, most parents no longer needed child care services as they were either laid off or got to work from home. Most facilities were not able to offer online programs, with their younger children, and had no means of staying afloat.
Those providers who did manage to weather the Covid storm, have spots open now, but most parents are not looking for full-time child care. Parents who are working from home or in a hybrid model, don’t need or want to pay $300-$400 a week for full-time care. Licensed child care providers have traditionally offered weekly contracted care for standard work hours to accommodate parents, Covid has changed everything. Parents only need a few days of care a week or a few hours a day. As more and more companies adopt post pandemic policies to include the hybrid work week model, the demand for part-time child care will spike. This means 1 weekly spot could be split-up between multiple children, allowing child care facilities to accommodate more children at their facilities for a higher daily or hourly rate then they would normally charge.
Parents will flock to child care facilities that are offering part-time, daily, and hourly schedules. The Daycare Owl platform allows child care facilities to segment their time into hourly, daily, part-time, and full-time spots. Economy of scale keeps hourly rates low on the platform. In the San Francisco, CA area, (where child care rates average $25/hr) the average hourly rate at licensed daycares on Daycare Owl was below $10/hr.
Businesses are struggling to bring employees back. Unemployment benefits, coupled with the child care credit, no overhead cost of child care, and more time with their families, why would parents be in a rush to go back to work? Unemployment benefits will run out, the future of the child care credit is unknown. Take advantage of it now. $300 a week may not be enough for a full-time contracted child care, but it is enough for a few hours of care a week or a few days of care a week.
About Daycare Owl
The Daycare Owl platform allows licensed facilities to segment their weekly spots into recurring part-time, daily, or hourly spots. Parents use Daycare Owl search and book full-time and flexible care. Daycare Owl is free to register for licensed facilities. Daycare Owl is free for parents to register, search, favorite and contact child care facilities.
Providers set their own prices on Daycare Owl, they can accept, deny, or cancel any reservation. Parents pay providers via stripe when booking through the Daycare Owl platform. Stripe fees are paid by parents.
Providers can also sell add-on services such as date-nights, overnight care, weekend care and more. Daycare Owl’s secure payment gateway is powered by Stripe. Providers will never miss a payment or write a receipt. Providers keep 100% of what they make.
Register your licensed facility for free: