Small Business Owners Cite Paid Leave and Child Care as Critically Needed Investments in NEW survey

Over Three-Quarters of Small Business Owners Surveyed Faced one or more challenges due to a lack of investment in our care economy, such as a national paid leave program or child care supports

July 14, 2021

WASHINGTON, DC - Main Street Alliance released results of its latest pop member survey today showing critical need and support for investments in care infrastructure including paid leave and child care support as part of the recovery packages.

With 15 industries represented across 24 states, over 120 small business owners shared their challenges with the lack of a comprehensive, national paid leave program and affordable child care as well as priorities for investment in the upcoming recovery packages.

Highlights include:

Challenges:

  • 88% of respondents indicated they faced one or more business challenges due to a lack of affordable child care and a paid leave program that covers small businesses. The most commonly cited challenges were:

    • Competition with larger corporations for recruitment (48%)

    • Employee morale and stress  (45%)

    • Challenges with hiring or retaining employees (36%)

  • When asked about whether the lack of a robust national care infrastructure has personally affected you or your family, 63% indicated at least some challenges, and 40% said it was very hard or the "most challenging year ever."

Care infrastructure is a priority for recovery and investment:

  • When faced with the reality of the amount of women leaving the workforce this year, and asked what policies would most support hiring and retaining women workers: 

    • 89% supported investments in child care

    • 74% supported a paid leave program

    • This compared to only 24% who identified a phase out of Federal Pandemic Unemployment Insurance 

  • 67% said investment in care infrastructure was equally as or MORE important than investment in traditional infrastructure to support their businesses 

  • Among respondents who selected just one area, investments in our care infrastructure were identified as most critical to helping restart and drive income to business four times more than traditional infrastructure (81% care infrastructure vs 19% traditional infrastructure.) 

Strong small business support for investments in care Infrastructure:

  • 89% of small business owners support a national paid leave program that provides up to 12 weeks of paid leave for employees to care for themselves or a loved one for birth or adoption of a child, or a serious medical condition.

  • 90% of small business owners support a major federal increase in support for child care so that low- and middle class family child care expenses are capped at 7%, child care workers are paid a fair wage and people are able to get back to work.

Making corporations and the wealthy pay their fair share increases support for these programs:

  • 89% Supported a Paid Leave program statement on it’s own, and that increased to 90% when tied to a statement stating the program would be paid for "by a tax increase on the wealthy and large corporations so they pay their fair share."

  • Similarly, 90% support investments in child care, and that increased to 93% when tied to a statement stating the program would be paid for "by a tax increase on the wealthy and large corporations so they pay their fair share."

An overwhelming 83% supported the statement:
“A national paid leave program would set America up to recover from this recession, it would also take the financial burden off of my small businesses saving money on employee turnover, retaining good workers, and revitalizing America's Main Street.”

It is time to invest in our care infrastructure. Small businesses are demanding this support. Programs like the paid leave and child care investments in The Build Back Better plans, including the American Families Plan will help ease the burden of high costs on working families - rewarding work, not wealth. No one should have to choose between family and work. It’s time to level the playing field for small businesses and invest in our care economy.

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Media Contact: Sarah Crozier, press@mainstreetalliance.org