Editorial: Ohio child care wall

Ohio’s economy is hitting the wall, unable to find needed workers and thus sure to miss out on potential growth as businesses bypass the Buckeye state bottleneck.

The problem is especially acute for working parents who are pushed out of the work force by the high cost of child care. The quickest fix for Ohio’s shortage of workers is to make it economically rewarding for stay-at-home parents to return to the job.

Read more Blade editorials

Ohio Republican lawmakers are teaming up with the state Chamber of Commerce to bring a program working in Michigan, Indiana, and Kentucky to Ohio. (“Business, GOP push for child-care subsidy,” Thursday)

GOP Senate and House bills are proposing a $10 million state subsidy for day-care costs. The program, run through the Ohio Department of Children and Youth, would provide a third of the cost at a licensed child-care center. The working assumption is employers would put up a third with the employee paying the final share.

But the balance of power has shifted so significantly in the employees’ favor that advocates of the legislation suggest employers would willingly pay the full cost beyond Ohio’s subsidy.

The state already provides income-based vouchers for child-care costs but the legislative proposal is a first-come first-served revenue stream open to qualifying employees of companies that choose to participate, regardless of income.

There’s little reason for parents to take a marginal job when the expense of child care consumes a huge share of take-home pay. But without those workers, for too many companies expansion in Ohio isn’t feasible.

Ohio’s highly competitive economic development incentives have no influence if businesses don’t have the workers they need to grow and prosper. With families better able to afford child-care in surrounding states Ohio competes against for development projects, a $10 million solution is money well spent.

Huge incentives to rich corporations are extended routinely. Competitive reality requires that Ohio do so for success. But now, strategic incentives must be extended to average citizens or the corporations will have no choice but to flock to locations more friendly to workers.