In Independence County, securing a day care spot for a child often feels like a race against time. By the time a spot becomes available, the child might have already aged out of the need.
“We only have child care to meet 10% of the demand for our infants and toddlers here,” said Jamie Rayford, Chief Operating Officer of the Batesville Area Chamber of Commerce. “We have waitlists that are hundreds of kids long.”
This severe shortage of child care is not just a family issue; it’s holding back economic growth in the county, which has a population of around 38,000.
“When people move to town for jobs or when companies consider the area, they find that our day care system is at capacity. Every spot in our entire community is full,” Rayford explained.
To address this problem, the Batesville Chamber has adopted new strategies to expand child care options. These include encouraging employers to support parents by offering on-site child care or flexible work hours. The efforts appear to be paying off. From 2019 to June 2023, the number of child care slots in Independence County increased by 168%, adding 650 more spaces.
The child care shortage isn’t unique to Independence County. A 2023 study by the U.S. Chamber of Commerce Foundation revealed that Arkansas employers lose an estimated $865 million annually due to employee absences and turnover caused by child care issues. The state also loses about $200 million in tax revenue each year for the same reason.
As Arkansas’s population grows, the report warns that finding and affording child care will become increasingly difficult for working parents. “Without suitable child care options, many Arkansans will be forced to exit the workforce, which negatively impacts their household finances and limits the talent pool available to businesses in an already tight labor market,” the report states.
The shortage of quality child care also poses long-term workforce challenges. “It’s a two-generation workforce issue,” Rayford noted. “We need people in the workforce now, and we need somewhere for their kids to go. At the same time, children need quality educational experiences to be ready for kindergarten.”
Currently, up to 45% of children in Independence County are not prepared for their first day of kindergarten due to the lack of child care options. “It’s not a good trajectory for the future workforce in the state,” Rayford warned. “We’re working hard to address the root causes and make fundamental changes to improve access.”
In October, the chamber was designated as an Arkansas Department of Education local lead agency for early childhood education, securing $150,000 annually for three years to enhance early childhood education opportunities in the community.
The chamber’s focus on expanding child care dates back to 2016 with the launch of a strategic plan called Impact Independence County. This initiative was based on extensive surveys throughout the county, identifying child care as a critical need.
“Our approach to economic development is workforce development,” Rayford emphasized.
First Community Bank in Batesville recognized the importance of providing child care more than two decades ago. In 2003, Dale Cole, the bank’s chairman, CEO, and founder, introduced a “kids’ day out” program, allowing employees to bring their children to work. The initiative was initially met with skepticism but quickly became popular among employees and their children.
The bank set aside a room for employees’ children, offering books, games, and access to the employee lounge, which featured a jukebox, fountain drinks, and soft-serve ice cream. Over the years, the program expanded to include two rooms for children of different ages.
The child care service has proven invaluable for employees, particularly when they need to take a child to a morning doctor’s appointment. Instead of missing work, parents can bring their child to the bank to wait. The bank also serves as a bus stop after school, where employees’ children can play or do homework while waiting for their parents.
The bank’s child care program has been a significant boost to employee morale, retention, and productivity—outcomes that align with the Batesville Chamber’s broader goals. “It’s been a valuable plus for employee morale, retention, productivity—all those things that the chamber is trying to address and industry is trying to address,” said Boris Dover, president and CEO of the bank.