A powerful new statewide coalition of business leaders, employers, and major trade organizations officially launched on Wednesday to address a quiet crisis dragging down the state’s economy. The newly formed New Jersey Business Council for Childcare aims to position childcare not merely as a family issue, but as critical economic and workforce infrastructure.
Advised by the national organization Moms First and backed by generous support from The Burke Foundation and the Turrell Fund, the coalition brings together heavy hitters including the New Jersey Business & Industry Association (NJBIA), the New Jersey Chamber of Commerce, Hackensack Meridian Health, Bally’s, Berjé, ZAGO Manufacturing Co., Switlik Survival Products, and WorkDynamX.
The launch comes at a crucial tipping point, driven by sobering economic data. According to research from Moms First conducted in partnership with McKinsey & Company, businesses lose $2.28 billion annually due to childcare-related absenteeism, turnover, and lost productivity.
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Direct Workplace Disruption: In a recent survey of New Jersey employers, nearly 85% reported being aware of employees requesting schedule changes, reducing their hours, or taking leave due to childcare breakdowns.
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Supply vs. Demand Gap: While 70% of New Jersey children aged 5 and younger live in households where all available parents are in the workforce, the state faces an estimated 18% gap between childcare supply and potential need.
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Soaring Costs: Center-based childcare in New Jersey averages nearly $18,000 per year per family, creating severe hiring and retention bottlenecks for employers competing for talent.
During prerecorded remarks delivered at the NJBIA’s Women Business Leaders Forum, U.S. Sen. Andy Kim praised the initiative’s business-led approach.
“In New Jersey, childcare is more than a social issue or a personal problem. It’s also a huge economic issue that costs New Jersey businesses $2.28 billion each year,” Kim stated. “In order to reach New Jersey’s full economic potential, we must recognize the issues holding us back, especially [in] our workforce.”
Founding business leaders echoed the urgent need for a unified voice:
- Michele Siekerka, president and CEO, NJBIA: “New Jersey employers are focused every day on attracting talent, retaining great employees and building the workforce our economy needs to grow. Childcare is increasingly part of that equation.”
- Tom Bracken, president and CEO, New Jersey Chamber of Commerce: “When employees cannot access reliable, affordable childcare, businesses feel the impact through workforce participation, productivity, retention and economic growth.”
- Linda McHugh, EVP, chief experience and people officer, Hackensack Meridian Health: “Healthcare depends on people across the care system… and childcare challenges can affect employees in every role.”
Rather than prescribing a single corporate policy or mandate, the Council provides a collective platform for employers across various industries and sizes to share data, engage peers, and communicate with state leaders. By utilizing employer storytelling, research, and public-private dialogue, the coalition hopes to build momentum for state investments that expand access to care.
The Council is actively welcoming additional New Jersey employers and business leaders to join the coalition. Interested businesses can visit njbusinessforchildcare.com or contact Meredith Lipnick at [email protected].
