Child care expenses have steadily increased in the last decade, making it harder for
Multinational food processing company Tyson Foods opened its on-site child care, Tyson Tikes, in July, which serves its frontline workers at a poultry processing plant in Humboldt, Tennessee. Otherwise known as the Tyson Learning Center, the $5 million facility, which is operated by child care and education provider KinderCare, will act as an early childhood
While an on-site child care center is a hefty investment, it seems Tyson is confident this is what their employees need to thrive.
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"We strive to be the most sought-after place to work in the communities where we operate," says Garrett Dolan, senior manager of social responsibility at Tyson. "By listening to our team members, we identified child care as a need. Tennessee's average child care cost is about $9,000 a year. By opening the Tyson Learning Center, we are able to provide high-quality care and education at a subsidized rate."
In fact, Tyson's care center only costs parents $2 per hour, partly thanks to assistance Tyson gained through working with the state and local governments. The Tennessee Department of Human Services awarded Tyson a $150,000 Establishment Grant for future facility costs at the grand opening.
Tyson Tikes' rate is essentially unheard of in the U.S. According to Care.com, parents spend an average of 27% of their household income on child care expenses, despite the U.S. Department of Health and Human Services recommending
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And in a tight labor market, child care benefits could mean the difference between high retention rates and a steady stream of employees leaving for a better offer, underlines Dan Figurski, president of KinderCare for employers.
"When you think of recruiting and retention, especially coming after the pandemic, most families are in need of some level of childcare support.," he says. "Tyson has just been proactive in seeing that as an up-and-coming benefit for their employees."
That doesn't mean an on-site child care center is right for every employer. Figurski notes that between dealing with nationwide childcare workers' shortage and the licensing requirements it takes to make a space child-safe, companies have to be prepared to make a million-dollar investment.
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"There are better solutions for small to mid-sized companies," he says. "You can subsidize child care tuition at a local KinderCare center or partner with KinderCare or another center to create easy access to high-quality care."
For companies that can afford to front the costs of an on-site center, Figurski is confident it will prove to be a worthwhile investment. Figurski and Dolan agree this new center will help Tyson retain working parents and avoid the high turnover rates that plague the food and manufacturing industry.
"Positive feedback about the convenience of the Tyson Learning Center is what we hear most from parents," says Dolan. "One team member was considering leaving the plant, but made the decision to stay because of the benefit of their child being enrolled at the Tyson Learning Center."
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KinderCare even provides parents with frequent updates about their children throughout the eight or even 12-hour workday, ensuring parents know their child is safe and can better focus on the job at hand, notes Dolan.
Ultimately, Figurski believes on-site centers should provide parents peace of mind, taking the logistical and financial burden of child care off their shoulders. If companies have the means to build an on-site center, they should consider how much value it could add to employees' lives. Start with an employee survey and go from them, advises Figurski.
"There is no greater asset for a family than knowing where their child will be every day," he says. "Employees stay with companies longer because they associate high-quality child care with their employer directly."
