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Childcare essentially can't go down in price. The vast majority of the cost is labor and their average salaries are shockingly close to minimum wages. Adult:chi

Childcare essentially can't go down in price. The vast majority of the cost is labor and their average salaries are shockingly close to minimum wages. Adult:child ratios aren't changing either. The only thing reducing the number of children needing daycare can really do is reduce the number of adults employed.

onlyrealcuzzo 2y ago
> The vast majority of the cost is labor and their salaries are shockingly close to minimum wage on average. But minimum wage is down substantially in real terms. So why are costs up substantially in real terms?
- xp84 2y ago
  > minimum wage is down substantially in real terms. I don't know if perhaps it is where you live, and regionally lots of things vary a lot, but in California: 2010 MW was $8. $8 in 2010 is worth $11.58 in 2024 dollars according to a BLS calculator. Today the minimum wage is either $16 (or $20 if you work in fast food for some reason) Minimum wage is up substantially in real terms here.
silisili 2y ago
Sure it can - there's a ton of red tape and regulations around childcare. Whether that's good or not is up to the parent, I guess. When we were children child care was getting dropped off at a neighborhood lady's house who either didn't work or worked part time at off hours. Often time trading days or just paying a nominal amount.
- bryanlarsen 2y ago
  30% of children attend a home-based childcare which is either unlicensed or has minimal licensing requirements.
chung8123 2y ago
How does this work? If the primary cost is labor and labor salaries are so low how is it all not just a ton of profit and then causing a bunch of care facilities that compete?
- lotsofpulp 2y ago
  You still need lots of labor, including redundancy staff. Plus lots of insurance, and land might be expensive too (or rent). A proper daycare would even pay extra to clean everyday, and then modern amenities like the software and bandwidth for livestream of the kids, hosting daily pictures and videos, etc.

onlyrealcuzzo 2y ago

> The vast majority of the cost is labor and their salaries are shockingly close to minimum wage on average. But minimum wage is down substantially in real terms. So why are costs up substantially in real terms?

xp84 2y ago
> minimum wage is down substantially in real terms. I don't know if perhaps it is where you live, and regionally lots of things vary a lot, but in California: 2010 MW was $8. $8 in 2010 is worth $11.58 in 2024 dollars according to a BLS calculator. Today the minimum wage is either $16 (or $20 if you work in fast food for some reason) Minimum wage is up substantially in real terms here.

silisili 2y ago

Sure it can - there's a ton of red tape and regulations around childcare. Whether that's good or not is up to the parent, I guess. When we were children child care was getting dropped off at a neighborhood lady's house who either didn't work or worked part time at off hours. Often time trading days or just paying a nominal amount.

bryanlarsen 2y ago
30% of children attend a home-based childcare which is either unlicensed or has minimal licensing requirements.

chung8123 2y ago

How does this work? If the primary cost is labor and labor salaries are so low how is it all not just a ton of profit and then causing a bunch of care facilities that compete?

lotsofpulp 2y ago
You still need lots of labor, including redundancy staff. Plus lots of insurance, and land might be expensive too (or rent). A proper daycare would even pay extra to clean everyday, and then modern amenities like the software and bandwidth for livestream of the kids, hosting daily pictures and videos, etc.