U.S. Chamber Foundation Report Estimates $591 Million in Lost Tax Revenue Due to Inadequate Childcare
WASHINGTON, D.C. (February 28, 2020) – The U.S. Chamber of Commerce Foundation today released a new report examining the impact of childcare issues on Pennsylvania’s state economy. The report is part of a broader “Untapped Potential” study of four U.S. states – Idaho, Iowa, Mississippi, and Pennsylvania – that reveals the cost of childcare challenges and opportunities to unlock economic potential for states and employers.
The study found that Pennsylvania misses an estimated $3.47 billion annually for the state’s economy. This number includes a $591 million annual loss in tax revenue as well as an annual loss to Pennsylvania employers of $2.88 billion on absences and employee turnover as a result of childcare breakdowns.
Key findings include:
- Childcare issues result in a total estimated $3.47 billion annual loss for Pennsylvania’s economy.
- At least 55% of parents in Pennsylvania reported missing work due to childcare issues in the past 3 months.
- Approximately four in 10 parents in Pennsylvania postponed school or a training program due to childcare issues.
The report was unveiled as part of a series of economic studies of Iowa, Idaho, Mississippi, and Pennsylvania at the U.S. Chamber of Commerce Foundation’s national Early Ed Summit at the Chamber of Commerce in Washington, D.C. The Summit hosted workforce leaders and early education advocates to discuss the economic impact of childcare breakdowns, unique challenges faced by each state, and the role of business in solving this childcare crisis.
To access the full reports, videos, report methodology, and other resources, visit: uschamberfoundation.org
About the U.S. Chamber Foundation The U.S. Chamber of Commerce Foundation is dedicated to strengthening America’s long-term competitiveness. We educate the public on the conditions necessary for business and communities to thrive, how business positively impacts communities, and emerging issues and creative solutions that will shape the future.
About the U.S. Chamber of Commerce The U.S. Chamber of Commerce is the world’s largest business federation representing the interests of more than 3 million businesses of all sizes, sectors, and regions, as well as state and local chambers and industry associations.