Childcare costs becoming a heavy burden for working parents

Increased childcare costs paired with a lack of flexibility is creating turmoil for Australian working parents, who are already on the backfoot in a cost-of-living crisis.

A new report from Remote has highlighted the mental health toll that balancing work and childcare responsibilities is having on Australian families who are already attempting to combat the cost-of-living crisis.

As budgets tighten and costs increase, working parents are in desperate need of better flexibility from their employer. According to the report, work/life balance ranks second only to pay as parents’ most important consideration when they are seeking out new job opportunities.

Reinforcing this, 81 per cent of working parents stated that they would consider leaving their jobs if they had to work more days in the office, yet 74 per cent also hold guilt or anxiety when they request time off for childcare needs.

Of course, the financial strain of the cost-of-living crisis is mounting additional pressure on Australian families, and when this is intertwined with the rising costs of childcare, the situation can become extremely stressful. This year, 69 per cent of working parents have been forced to reduce spending to cope with childcare costs.

Therefore, a major concern in regards to changing working models that allow less flexibility is that those childcare costs will only increase further, which is a sentiment that 69 per cent agreed with. Many working parents (54 per cent) said they have considered quitting their jobs due to unaffordable childcare options during working hours.

Job van der Voort, co-founder and chief executive of Remote, said the report surveyed 13,850 working parents across 13 countries to “examine the challenges faced by working parents as they balance career aspirations with childcare responsibilities”.

“What has become increasingly evident is that employers must embrace remote work models,” he said.

“Providing flexibility in where and how work gets done is not just a perk but a necessity for today’s workforce, especially to empower working parents to better navigate their professional and personal lives, fostering a culture of inclusivity, productivity, and wellbeing.”

This burden of childcare costs, paired with a lack of flexibility, is disproportionately falling on the shoulders of Australian women, with 70 per cent of working parents acknowledging that mothers predominantly bear the childcare burden within their families.

The effect of this is that female workers often have to sacrifice their career progression to instead provide care for their children. The report showed that 61 per cent of working women have made career sacrifices, such as taking pay cuts or reducing working hours due to lack of affordable childcare.

Sadly, the report found that 55 per cent of men said they had encouraged their partner to quit or consider quitting their job due to a lack of affordable childcare options during their working hours.

Women are also more likely to face significant barriers to advancement, with 66 per cent reporting feeling overlooked for promotions or opportunities at work because of their parental status.

With WGEA reporting and other forms of equality standards being forged into the Australian workplace, underlying issues like this can often be overlooked, yet these are just as damaging. Due to the cost-of-living crisis not slowing down anytime soon, it’s crucial that employers ensure that flexibility is present for their employees.