New state childcare grant can help employers recruit & retain workers

The underlying issue of a lack of workforce in some cases may be a barrier to employment - access to high-quality, affordable childcare. It is one of the reasons waves of parents have exited the workforce in the past two years.

“During several site visits with manufacturers, the topic of workforce eventually comes up,” said Chris Caves, VP, Business & Economic Growth for the Chamber. “We’ve learned that workforce shortages can have many nuances, and one key factor is lack of childcare for employees.”

Recently, Iowa Gov. Kim Reynolds announced a new Child Care Business Incentive Grant Program to incentivize employer investment in childcare and to offer childcare as a benefit.

The program will provide $25 million to support child care projects across the state: $20 million to support local infrastructure investments to build or expand child care capacity and $5 million to support arrangements between employers and child care facilities to expand and reserve child care slots.

Potential projects could include the creation and development of an on-site center or a partnership with an existing center to create new child care slots paid for by a local employer. The grants can provide employers the opportunity to deliver childcare solutions thereby bolstering opportunities to recruit and retain workers.

Businesses can apply for the grants from June 17 – July 18.

“Our role at the Chamber is to connect businesses to the resources they need. After learning more about the trouble finding childcare we convened a meeting with two manufacturers, regional childcare provider Skip-A-Long, and representatives from the Iowa and the Illinois Childcare Resource and Referral offices to discuss needs and available services and resources,” said Caves.

That conversation unveiled information that many companies will find beneficial - survey your employees to really understand how many are working parents and the barriers they face in accessing high-quality, affordable child care.

The Iowa Women’s Foundation has a toolkit on business strategies for investing in childcare solutions, including flexible work arrangements, backup care, off-site partnerships, subsidized child care and on-site care.

Showing your workforce – existing and potential – that you recognize the challenges they face and want to be part of the solution can set your business apart.