A new report from KinderCare Learning Companies, Inc., the nation’s leading provider of high-quality early childhood education by center capacity, reveals that employer-sponsored childcare benefits are a strategic necessity for Fortune 500 companies in the competition for top talent. The 2025 KinderCare CHRO Perspectives Survey, conducted The Harris Poll, highlights human resources leaders’ recognition of the critical role childcare benefits play in talent acquisition, retention, and employee well-being, while underscoring the urgent need for more flexible and customizable options.
Survey respondents overwhelmingly agree on the significant value of childcare benefits, with CHROs saying:
- childcare benefits reduce employee turnover (85%);
- these benefits help attract talent to their organizations (86%);
- childcare support enabled employees to excel professionally (82%); and
- childcare benefits improve employee mental health (83%).
“Now more than ever, working parents need flexibility and choice when it comes to childcare,” says Jessica Harrah, chief people officer at KinderCare. “As hybrid work models and return-to-office mandates continue to reshape workplaces, our data shows that employers also recognize the critical need for flexible childcare benefits as 84% of HR leaders have experienced or anticipate experiencing increased demand for childcare solutions from employers, and 82% identify childcare benefits as a critical component of their RTO strategies.”
While eight in 10 (81%) HR leaders agree that providing childcare benefits increases employee productivity, they often face challenges in expanding these resources. Most (78%) report difficulty convincing the C-suite of the long-term return on investment, largely due to a lack of clarity about employee needs and budget constraints. Additionally, HR leaders report a lack of employee awareness of current childcare benefits even as 99% of Fortune 500 companies already offer some form of childcare benefit.
The survey also reveals a disconnect between leadership priorities and employee expectations. While HR leaders rank childcare benefits seventh in importance for competitive advantage, employees rank them third, according to KinderCare’s 2024 Parent Confidence Index.
“Accessible and affordable childcare remains a necessity for working families,” says Dan Figurski, president of KinderCare for employers and champions. “The solution for employers doesn’t have to be complicated. At KinderCare, we work with more than 700 organizations of all sizes across the country to support their employees with childcare benefits. We work with each employer to find a flexible solution that addresses the unique needs of their employees and works within their budget, whether that’s through subsidized tuition, priority enrollment at community centers, or even an on-site center at the employer’s location.”
Looking ahead, 89% of HR leaders plan to expand their childcare offerings in the next five years, signaling a shift toward more inclusive, customizable benefits. KinderCare remains a committed partner in this journey, helping organizations design childcare solutions that meet employees’ evolving needs.
