Childcare Support Strengthens Companies’ Bottom Line, IFC says

Companies offering childcare support benefit from improved employee recruitment, retention, and productivity of workers, says the International Finance Corporation (IFC).

The report discussed how companies can make an analysis of their workforce to determine the type of childcare support they can offer their employees to best suit their needs.

One of the companies profiled by IFC was Safaricom, which was hailed for a set of policies and practices that aid in the support of all its employees with children, including on-site crèches for younger children.

“We continuously create a friendly environment for mothers as much as we can the ensure there is no disruption and costs associated with replacing the female workforce leaving the company to concentrate on their families. Moreover, we are actively identifying female employees with leadership skills to train and grow them at every level of the company,” said Steve Chege, the director of corporate affairs.

Safaricom also offers other additional benefits, apart from the crèches, like maternity leave beyond statutory provision, reduced working hours options for mothers, breastfeeding rooms, on-site doctors, and medical covers, which includes the children.

According to the research, employers that offer childcare were found to have a substantial reduction in the employee turnover.  It also improves the quality of the applicants and the rate at which empty positions are filled.

There were reduced absences in the said companies, improved motivation, and commitment as well as a better gender diversity, which includes the progress of women to leadership positions.

“When companies offer childcare support, they can hire and retain talent and realize better profits and productivity in the process. Moreover, the endeavor enables more individuals to participate in paid labor. This is beneficial to children too as they will have access to early childhood education and care, which are imperatives to performing better in school. Hence, childcare provision is a win-win situation for employees and their children, employers, and the economies,” said Manuel Moses, IFC Country Manager, East Africa.

IFC is a member of the World Bank Group. It is focused on developing the private sector in emerging markets.