Strong child-care systems play a key role in supporting working parents and economic growth, but many New Jersey families face high costs that make it difficult to afford quality care. This was the central topic discussed by childcare and business leaders during a recent episode of “Think Tank with Steve Adubato.” The panel included Michele Siekerka, President & CEO of the New Jersey Business & Industry Association (NJBIA); Meghan Tavormina, Director of Public Policy and Advocacy at the New Jersey Association for the Education of Young Children; and Molly Day, Chief Operating Officer of Moms First.
The discussion highlighted that finding safe and affordable childcare is often seen as a personal challenge rather than an economic issue affecting the entire state.
“The business of childcare is everyone’s business,” said Siekerka. “Let’s start with a sobering statistic: $3.6 billion of lost earnings to productivity and revenue in New Jersey alone because of the fact that we don’t have enough affordable and accessible childcare – a place to safely place our children so our workers can come to work each and every day and be productive.”
Day pointed out that about 500,000 women have left the workforce because they cannot afford childcare. “We hear from moms every day that they are priced out of childcare,” she said.
During the pandemic, federal funding helped keep many childcare centers open, but those funds have since ended. Day explained, “We have seen a plateau in the number of childcare centers reopening … and so many closed during the pandemic. We’ve also seen at the same time, childcare continues to outpace inflation and costs going up to now more than $19,000 per child.”
Tavormina described efforts by her organization alongside Start Strong New Jersey to ensure adequate investment in childcare services across all industries in New Jersey. She emphasized early childhood’s importance: “We have an opportunity in the first five years of a child’s life to really mold the way that they are going to grow and learn … and when we miss those first five years, we pay for it for the rest of their educational life.”
She warned that ignoring challenges around affordability will impact not only families but also employers and broader economic health. “Childcare is very much an economic conversation,” Tavormina said. “If we really continue on this path … it’s going to reshape the way that businesses can operate and their productivity.”
The NJBIA represents private-sector employers throughout New Jersey as part of its mission as one of the nation’s largest statewide employer associations (official website). It provides advocacy, information, partnerships among businesses, government entities, academic institutions (official website), cost-saving benefits (official website), as well as resources designed to support business prosperity (official website). Michele Siekerka serves as president and chief executive officer (official website).
To view the full 30-minute episode featuring these discussions about child-care challenges in New Jersey’s economy, viewers can watch online.