Key facts
- Molly Moon's Homemade Ice Cream provides employees with $1,000 per month per child for childcare expenses.
- The company also offers $4,200 annually for after-school and summer camps for children up to age 12.
- The childcare benefit is a reimbursable subsidy, requiring employees to submit receipts.
- The program is credited with reducing employee turnover and absenteeism.
- A return-on-investment analysis found the childcare initiative yielded a 128% return.
Molly Moon Neitzel, founder and CEO of Molly Moon's Homemade Ice Cream, has implemented a significant childcare benefit for her employees, offering $1,000 per month per child for daycare. Neitzel started her ice cream company in 2008 with a vision of creating a for-profit business that also made a positive impact, incorporating living wages and free health insurance into her business plan.
The decision to offer childcare support stemmed from observing talented employees, many of whom were parents, seemingly holding themselves back from career advancement due to childcare barriers. Neitzel realized that the high cost of quality childcare was a significant obstacle for her predominantly female and nonbinary workforce.
The company established a reimbursable subsidy program, covering up to $12,000 annually per child until they enter kindergarten. For children older than kindergarten age, the company provides $4,200 per year for after-school and summer camps until age 12. This benefit has seen increased utilization, tripling the company's spending on it over the past three years.
To quantify the impact, Neitzel and her CFO collaborated with Moms First to analyze the return on investment. The analysis revealed that the program not only benefits parents but also appeals to employees without children, who value the company's commitment to family support and are more inclined to work there. Key financial returns were attributed to decreased absenteeism, reduced lateness, and enhanced productivity due to reduced stress among employees regarding childcare arrangements.
Furthermore, the childcare benefit has proven to be a powerful tool for recruitment and retention in an industry known for high turnover. Neitzel highlighted that the program helps retain experienced employees and attracts a strong pool of applicants for seasonal and year-round positions, ultimately leading to better-managed teams. The initiative has also directly contributed to employees expanding their families, a benefit Neitzel considers immeasurable.