Child Care Benefits Have a Big Impact on Working Parent Loyalty

UrbanSitter’s 2025 Working Parents & Child Care Study included a survey of more than 500 working parents focused on working parents and child care issues. One of the highlights the survey keyed in on is how often parents are making career changes due to child care or caregiving issues. Further, the research confirms the big impact that child care benefits, such as backup care benefits, can have on retaining working parents.

The career risk is real

In 2025, 68% of working parents reported making a career change due to caregiving challenges—up from 66% the year before. The most common changes included:

• Reducing hours (40%)

• Reducing responsibilities (24%)

• Turning down promotions (17%)

• Leaving the workforce entirely (17%)

These changes directly impact company productivity, engagement, and DEI goals—especially as the burden of care remains unevenly distributed across gender, race, and income.

Retention risk is ongoing

Despite a return to office and lower reported absenteeism, the underlying pressure hasn’t eased. This year’s study shows that 56% of parents feel stressed about child care multiple times a week, and 43% still lack adequate backup care. That stress correlates with turnover:

• 68% of working parents say child care benefits would influence their decision to accept a job

• 81% say they’d be more likely to stay with their employer if child care support was offered

The solution working parents want

When asked what benefits would help most, parents pointed to:

1. Child care benefits and subsidies (45%)

2. Flexible work schedules (33%)

3. A four-day work week (32%)

Child care benefits have been the top request for three years running—outpacing even 401(k) matching. The data sends a clear message: parents want practical support that reduces daily strain.

The ROI for Employers

Employers offering UrbanSitter’s Corporate Care benefit for backup care support see tangible outcomes:

• 40% fewer missed workdays due to child care gaps

• 77% return-to-work rate after childbirth, compared to the 57% industry average

• 50% reduction in attrition when a backup care benefit is offered

In an era where every budget line requires justification, caregiving benefits remain one of the few investments that measurably reduce attrition and protect productivity.

Final Takeaway

Retention doesn’t start with free lunches or perks—it starts with understanding what working families need to show up and thrive. Companies that lead with care will be the ones talent stays for.

👉 Want the full data set? Download the full Working Parents & Child Care Report now.