Virginia Governor Abigail Spanberger yesterday signed bipartisan legislation into law, establishing an Employee Child Care Assistance Program aimed at reducing childcare costs for families across the Commonwealth and strengthening early childhood education.
This new program, created by House Bill 18 and Senate Bill 3, will provide matching state funds to employers who contribute to their employees' childcare expenses. Priority for participation will be given to small businesses with fewer than 50 employees. The initiative seeks to address the significant economic challenge posed by high childcare costs, which often compel parents, particularly mothers, to leave the workforce.
Governor Spanberger emphasized the broader economic impact, stating, "When a family cannot afford childcare, oftentimes a parent — and the numbers bear it out, oftentimes a mom — drops out of the workforce altogether. That doesn’t just create a family budget issue; that creates a challenge for our economy." She highlighted that full-time childcare in Virginia can cost between $15,000 and $20,000 annually, impacting the state's competitiveness for talent and businesses.
The Governor also underscored the long-term benefits of early childhood investment, noting, "Children who spend time in quality early childhood programs do better in school. They do better in life, and they contribute to their communities and our economy." The legislation further strengthens Head Start and other early childhood care and education programs across Virginia.