Indiana’s child care problems cost the state $4 billion last year, a Chamber report says

In a recent survey of Hoosier parents, 57 percent said they had recently missed work or school due to child care-related issues. And 40 percent said they left work in the last year due to these complications.

The Indiana Chamber of Commerce estimates that the lack of affordable options and other problems cost the state more than $4 billion annually.

According to the Chamber’s report, parents who do not go to work create costs for themselves and their employers. The estimated economic impact includes the cost of employee absenteeism and turnover, as well as lost tax revenue, which the chamber says is more than $1 billion per year. Other costs include pay cuts for parents and companies paying more to make up for missed work.

Jason Bearce is vice president of education and workforce development at the Indiana Chamber of Commerce.

“If parents don’t have a safe and reliable place for their child while they’re at work, there’s a good chance they won’t be able to make it to work regularly or will have to make a difficult decision. “I’m going to retire from work altogether,” said Bearce.

READ MORE: Low wages and availability of child care are pushing women out of Indiana’s workforce, study says

Join the discussion and register the Indiana Two-Way. Text “Indiana” to 765-275-1120. Your comments and questions in response to our weekly text help us find the answers you need on national issues.

Bearce said child care workforce retention is another important issue and increasing wages is one solution to help workers stay in the field.

Additionally, access to reliable child care provides children with important early learning opportunities, said Maureen Weber, president and CEO of Early Learning Indiana. Early Learning Indiana worked with the Chamber to prepare the report.

“Access to high-quality, affordable early learning opportunities allows parents to go to work to participate in an educational program that could increase their earning potential,” Weber said. “At the same time, it is critical for young children to have access to the experiences that will make the most of their early years of development.”

Timoria is our labor and employment reporter. Contact them at [email protected].