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Survey shows Louisiana child care providers facing serious challenges

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STATEWIDE — The Louisiana Policy Institute for Children (LPIC) released the results of "Help Wanted: The Staffing and Operating Challenges Facing Louisiana Child Care Providers," which surveyed Louisiana child care providers to better understand the challenges facing the field that supports parents as they go to work, go to school, or look for new jobs.

The findings provide insight into the challenges facing the early care and education sector, highlighting the following:

  • Child care providers are not immune to inflation and the rising cost of doing business, with more than two-thirds of providers experiencing an average increase in insurance premiums of nearly $17,000.
  • Child care, like other industries, is experiencing significant staffing challenges, with two-thirds of providers concerned about short- and long-term staff turnover.
  • Staffing challenges and delays in public child care subsidies leave many families waiting for care, with more than two-thirds of providers reporting that they maintain a waiting list with an average size of 34 children.
  • Providers have increased wages to retain staff. However, most child care workers still earn less than a livable wage and receive few workplace benefits.

“Child care is a crucial element of our state’s economy,” said Libbie Sonnier, Ph. D., executive director of LPIC. “Without access to quality, affordable child care, parents cannot go to work—period. The findings from this latest provider survey should trouble all Louisianans, especially as federal aid for child care expires and Congress seems poised to cut further.”

According to LPIC, most child care providers in the state are experiencing increases in costs for routine expenses such as food, cleaning supplies and insurance.

“The findings from this survey reiterate the urgent need to support families and our economy,” said John Dean, president and owner of AirSystems, LLC. “Everyone talks about the insurance crisis in Louisiana, but no one is talking about how the businesses that care for and educate our babies are facing insurance premium increases of almost $17,000 a year.”

While parents continue to need and use child care, as evidenced by two-thirds of all child care providers maintaining a waiting list, the business model does not support workers earning a living wage, contributing to high turnover. More than half of Louisiana's child care providers reported having a job opening, and among providers who lost staff in 2023, more than half of the employees who left cited higher wages at their new job as the reason for leaving.

“It is alarming to realize that all other businesses rely on this one particular business, and child care business models are so precarious,” said Nancy P. Alexander, director of Northwestern State University Child and Family Network. “Even with child care businesses doing all they can to increase wages, they’re still losing quality employees and struggling to hire new ones.”

LPIC conducted the survey in partnership with Agenda for Children, the Child Care Association of Louisiana, Children’s Coalition for Northeast Louisiana, For Providers By Providers, Louisiana Association of Education of Young Children, Louisiana Association of United Ways, Northwestern State University, On Track by 5 Alliance, Pointe Coupee Early Childhood Coalition, United Way of Southeast Louisiana, and Volunteers of America.

The complete findings from “Help Wanted: The Staffing and Operating Challenges Facing Louisiana Child Care Providers,” can be found here. The survey was conducted from April 26, 2023, to May 19, 2023. Questions ranged from asking about operational challenges and cost increases, staffing challenges, and more.

For more information on LPIC, visit PolicyInstituteLA.org. To watch today’s press conference, click here.