In today’s competitive labor market, access to affordable and reliable child care isn’t just a family issue; it’s a business imperative. For employers across Tampa Bay, child care challenges are directly impacting workforce participation and economic growth. But thanks to new legislation, Florida businesses now have an opportunity to be part of the solution and receive a financial incentive for doing so.
Why It Matters to Business
Lack of affordable and accessible child care is the #1 reason parents with children under six leave their jobs in Florida. The cost of early learning often exceeds in-state college tuition, placing a significant strain on working families. In fact, child care accessibility issues have led to a staggering $5.4 billion loss to Florida’s economy and forced more than 281,000 parents to leave the workforce in just the last year.
This is more than a personal dilemma; it’s a workforce crisis. Highly educated, talented individuals, especially women, are stepping away from careers because of child care obligations. That means businesses are losing skilled workers, and our region is missing out on vital economic contributions.
Early Learning = Future Workforce
Ninety percent of a child’s brain develops by age five, and the first three years are especially critical. High-quality early learning doesn’t just benefit children; it builds the foundation for a strong future workforce.
But Tampa Bay is falling short:
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Fewer than 50% of 3- and 4-year-olds are enrolled in early learning programs.
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Only 52% of children arrive to kindergarten prepared.
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Just 54% of third graders read proficiently, an essential skill tied to lifelong success.
Businesses have a direct stake in changing these outcomes.
A Game-Changer: The Child Care Tax Credit
Thanks to the leadership of Representative Fiona McFarland, a Child Care Tax Credit went into effect on October 1, 2024, offering incentives for employers who support child care solutions. Here's how it works:
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Start-Up or Retrofit Credit: Employers can receive up to 50% of the cost to build or retrofit on-site child care facilities.
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Operating Credit: Receive up to $300 per child per month in tax credits for offering child care benefits through an existing provider or shared partnership.
A total of $5 million in credits is available statewide each year. Employers must submit estimated costs in advance to secure funding.
What Business Leaders Can Do
Tampa Bay businesses have a powerful opportunity to invest in their employees and the future workforce by utilizing this credit. It’s not just a tax break—it’s a competitive advantage. Supporting child care access can improve retention, attract top talent, and build a more inclusive, resilient economy.
We encourage our members and partners to explore this program and share it within your networks. Together, we can close gaps in early education, empower working families, and strengthen the economic engine of Tampa Bay.
For more information on eligibility, application steps, and regional early learning data, explore the resources linked below.
Let’s make child care part of our workforce strategy—because when families thrive, businesses do too.
Resources to Learn More:
- The Florida Chamber Foundation’s Business Alliance for Early Learning has created A Guide for Employers, including a sample employee survey to assess child care challenges and webinar recording to understand the opportunity further.
- Florida Department of Revenue outlines the nuances of various taxes of which the credit can be applied to.
- Reach out to Makayla Buchanan, Director of Early Learning and Literacy at the Florida Chamber Foundation to discuss how employers can transform ideas into action or learn about existing employer-supported child care solutions models in Florida. ([email protected])