Recently, Children Now released their 2022 California’s Children Report Card which aims to analyze and grade the state of California on its initiatives in supporting and serving children in California.
Here are some interesting numbers they have gathered related to the early childhood sector, factors that affect childcare providers and what California proposes to ease some of the problems.

The Numbers: Highs and Lows

2.75 million

That’s the number of young children that need child care assistance in the state of California.

14% of young children

Only 14% of young children have access to quality childcare, with infants and toddlers who require more work and attention being the most underserved segments.

10,000 child care programs

That’s the number of child care programs that have temporarily or permanently closed. These closures further exacerbated the childcare shortage that California parents have already faced.

29% of child care workers

More than a quarter of child care workers experienced food insecurity despite having a fulltime job.

48% of child care programs

Almost half of child care programs still open serve far fewer children than their license allows due to staffing shortages.

60% of child care workers

A majority of child care workers receive public assistance such as food stamps due to their low wages and salaries. Child care workers remain to be one of the lowest paid workers in California.

70% of child care programs

Majority of child care programs never even make a profit and are in the red due to low attendance, staffing shortages, fewer slots, and uncertain schedules due to closures.

77% of child care workers

Solving staffing shortages could somehow ease the burden of childcare shortage but the majority of early care and childhood (ECE) workers cite low pay as a main deterrent against going back into the industry.

The Factors: Computing Error

Low enrollment

While child care programs are open, there are still some parents who choose to not enroll their young children full time due to the uncertainty of the coronavirus pandemic. The sudden closures also discourage parents to add an expense that they might be paying for in the future but might not be able to use due to closures. This leaves child care programs who already barely make a profit when full, even buried in more losses than they can sustain.

Rising operational costs

Regardless of enrolled children, child care programs’ operating costs have only increased due to added sanitation processes. These processes are an integral part of keeping their programs and centers COVID-safe for children. However, the costs do add up and eat away at whatever little profit they can extract.

Staffing shortages

As child care workers fail to even get a living wage, it’s no surprise that child care workers who were let go during the first few months of the pandemic rarely choose to return to the profession. Thus, an unprecedented staffing shortage which was already worse even before the pandemic hit. While most love being part of a child’s early learning and development, the reality is that their efforts are barely paid. With a majority of child care workers on public assistance, the industry has a lot to do in ensuring child care workers get paid more than just a living wage.

Higher staff-to-child ratios

Higher ratios means fewer children served and lower income for child care programs. Combining lower income due to higher ratios with high operational costs just won’t add up to a thriving business that can scale and return to profitability.

The Solution: California’s First 5

The state government has definitely not been deaf to the needs of the childcare industry. Its First 5 budget proposal focuses on giving funding to essential services and programs that will ensure children from 0-5 years old will thrive.
The budget proposal includes:

• For Child Care Programs
  The First 5 budget proposal lays down a $5.8 billion funding for child care programs to use for rate increases, improve infrastructure, and serve as a supplemental funding source for child care businesses.
  The budget also aims to hopefully help child care providers expand their service to serve more families in their communities.
• Universal Access Transitional Kindergarten and/or Public Preschool
  Parents can rest easier when a universally-available transitional kindergarten opens up for their 4 year olds. Parents are also given the option to enroll their 3 year olds to a state-funded preschool. The budget proposal also earmarks money to fund state preschool programs’ for children with disabilities and dual language learners.
  In total, there will be a $308.4 million to fund a state public preschool and transitional kindergarten that is accessible to all 3 and 4 year olds all over the state.