Workplace: A Settling Millennial Generation Drives Interest in On-Site Daycare

Patagonia reports that 100% of mom’s have returned to work in the past 5 years after giving birth, a statistic that far out-performs the nation’s average of 65%. With 92% of Millennials reporting Live/Work balance as the top priority when considering a new job, it’s no surprise that as Millennials find partners and start families, workplaces that accommodate their family needs will stand apart from the rest in talent retention.


Employers have developed rich and diverse amenity offerings from in-house food services to barber shops, bike repair, and even doggy day-care. So why not child day-care? Many companies have legal reservations regarding daycare administration, but these reservations are founded in easily navigable legal territory – increased insurance and local licensing among the top concerns. Forbes puts the starting cost of opening a childcare facility at $30,000 while top estimates push $84,000. National childcare operations, like Bright Horizons, partner with corporations across the country to offer on-site, employer-sponsored childcare.

Patagonia is not the only employer who has identified on-site childcare as a priority for maintaining a happy, healthy workplace environment. Clifbar, Aflac, and the U.S Military also offer on-site childcare.

So, what is the payback? 95% of employees say that access to an on-site child care centers at work helps them concentrate throughout the day. Aside from the incredible rates of retention, higher live/work balance satisfaction, and increased feelings of fulfillment at work, there are hard line financial incentives also. Fast Company reports that “facilities may claim a tax credit of up to 25% of the facility expenditures, plus 10% of any resource and referral expenditures in a calendar year, up to a limit of $150,000.”

With the rise of flexible work/life policies, collaboration technology, and feasibility of freelance work, employers are competing to make their offices places employees want to be, rather than need be. As the Millennial generation settles into their family years, look for daycare to become the defining amenity at many corporations with exceptional corporate culture.

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