Subsidized day care by corporations has been an on-going trend since the id 90s. This initiative addressed problems such as lack of affordable yet quality day care services parents who are employed by such corporations. This is also very helpful to employees who worked the off-hours or those who worked through graveyard shifts.

Subsidized day care for a company’s employees is one of the biggest benefits that a parent/s can get. Some of these subsidized day care centers are operated by the company’s staff, but most of the time companies hire outside contractors to get the job done. Since companies get experienced day care staff, outside providers give companies higher quality and better qualified staff with minimum costs.

When a company offers a subsidized day care plan or center, it helps create employee loyalty similar to a health insurance. Subsidized day care does not only make an employer more desirable to potential employees, it keeps them from thinking of leaving the company.

At the same time, a company with a subsidized day care benefit offers potential employees comfort and security that other companies may not have. If you are thinking of getting the best talent and you are offering a benefit such as subsidized day care plans, you put your company ahead of the competition for being family-oriented.

Most of the subsidized day care centers operate during the business hours of a company. Some businesses require a lot of off-hours or graveyard shifts or even extended shifts like a 12-hour shift. Subsidized day care options make companies more attractive employers in the eyes of the workforce and potential employees. Often times companies need to change shifts among their workforce, hence a subsidized day care being offered by a company comes in handy as it can be as flexible as an employee’s needs require it to be.

Offering subsidized day care to employees also lessens absenteeism among the workforce. Employees feel more confident and relaxed that they can check on their children every once in a while during work hours. This allows them to focus on work, reducing stress caused by constantly worrying about their kids at home or at out-of-site day care centers.

All these results of higher productivity, increased retention, and attractive benefits to potential new employees can mean only one thing: cutting overhead costs of the company. The savings that companies get from the benefits of subsidized day care plan more than pay for the plan itself, they can use these savings in order to give further incentives to employees and even expand their business.