What is a realistic ROI for an employer childcare benefit?

Research by Boston Consulting Group and Moms First, published in March 2024, found that childcare benefits delivered returns of between 90% and 425% across five companies in different industries. Conservative models typically show returns of 90-150%; organisations with higher turnover or higher replacement costs often see significantly more.

How do I calculate the break-even point for a childcare benefit?

Divide the annual programme cost by the average cost of replacing one employee. If the programme costs £40,000 per year and your average replacement cost is £25,000, you need to retain fewer than two employees to break even.

What data do I need to build a childcare benefit business case?

The most useful internal data points are: your current annual turnover rate among working parents, any exit interview data that captures childcare as a reason for leaving, your absence rate and any records of childcare-related leave, and the average cost-to-replace for roles where working parents are concentrated.

Is backup care more cost-effective than a general childcare subsidy?

Generally yes, because backup care is activated at the exact moment of peak retention and productivity risk. A general subsidy is paid regardless of whether it changes behaviour; backup care directly prevents the absence or resignation that would otherwise occur.

How long does it take to implement an employer backup childcare benefit?

With a platform like Bubble for Work, the implementation timeline is very short - weeks rather than months. There is no technical integration required. Employees download the Bubble app, register with their work email address, and the benefit goes live.