The childcare crisis is no longer just a personal challenge, but an economic one. Without action, the U.S. risks losing $290 billion annually in GDP by 2030 due to missed workdays, reduced productivity, and workforce attrition linked to the lack of investment in childcare. Yet, as daunting as these statistics are, there is hope.

At NationSwell’s recent roundtable discussion, Thriving Economy for All: The Case for Childcare, business leaders and innovators joined panelists Morgan Bast of Steamboat Resort, Mel Faxon of Mirza, and Molly Moon Neitzel of Molly Moon’s Homemade Ice Cream, to explore proven strategies for tackling childcare challenges through employer-driven initiatives.

Here are some of the key takeaways from the event:

Breaking down the crisis

The financial burden of childcare on American families is worsening. With childcare now more expensive than housing in all 50 states, parents are spending an average of 24% of their income on care, and 40% are going into debt to cover costs. Beyond lost dollars, care breakdowns have wider implications for women and caregivers in the workforce as they can result in declined promotions, stalled careers, and inequitable earnings.

Employer-Led Innovation

Some businesses are turning this crisis into an opportunity to lead. “I started Molly Moon’s Ice Cream to see if I could create a profitable business while also baking in the progressive values that I thought either business or government should provide to every worker in the nation,” says Molly Moon Neitzel. Guided by this belief, Molly Moon’s Homemade Ice Cream implemented a life-changing childcare benefit to its employees: $1,000 monthly per child under 5 and $4,200 annually for school-age children.

Morgan Bast, Director of Marketing at Steamboat Resort, shared how her team addressed a childcare desert in their rural Colorado community by launching an employer-based childcare center. The center, which serves both employees and local families, has improved employee retention, engagement, and work-life balance. “We’ve had a baby boom because people are now able to have babies and actually have a place for them to go,” Bast said. 

Meanwhile, Mel Faxon, co-founder of Mirza, highlighted the importance of systemic approaches to solving the childcare crisis. Her team connects families with underutilized federal funding, noting that only 10-20% of eligible families access the roughly $21 billion of subsidies available to offset the cost of care. 

Building Inclusive Solutions

Systemic change requires collaboration across sectors and broad support systems. As one participant advocating for parents of neurodivergent children emphasized, “Raising a child with special needs requires more support, more resources, and more financing.” Her call to expand the scope of childcare solutions underscores the need for inclusive, scalable approaches that leave no family behind.

The Economic Impact

Beyond individual stories, the broader economic case for childcare is clear. Studies show that family-friendly policies like childcare subsidies and universal pre-K could boost U.S. GDP by nearly $1 trillion over the next decade through increased workforce participation. But realizing this economic potential requires coordinated action at both the federal and employer levels.

State-level innovations, such as Vermont’s employment tax (Act 76) for childcare assistance and Michigan’s tri-share program (now across other U.S. states), demonstrate successful public-private partnerships. As Mel Faxon notes, “We need continued pressure on federal policy. And a lot of that will come from employers.” Businesses have a unique opportunity to advocate for legislative measures to close critical childcare gaps.

From Hope to Action

NationSwell is proud to partner with organizations and leaders through the Case for Childcare Collaborative to address this critical issue together. As Molly Moon Neitzel emphasized during the discussion, “The Case for Childcare work gave me a ton of hope. It made me feel like we’re not operating in this tiny vacuum.” 

The childcare crisis is solvable, but demands urgent, collective action from employers, policymakers, and communities. The path forward is possible—and the time to act is now.

To learn more about the Case for Childcare, visit childcareforall.nationswell.com and caseforchildcare.nationswell.com