Half of Minnesota Child Care Providers Unsure How Long They’ll Remain in Business

Child Care in Thief River Falls and Pennington County

Survey shows providers struggle to stay in business with unpredictable enrollment, hiring challenges, inflation

On May 26, 2022, the Federal Reserve Bank of Minneapolis released the results of a survey of more than 1,000 Minnesota childcare providers.

The survey found:

  • High feelings of insecurity among childcare providers
  • Despite high demand for childcare, most providers have not seen growth
  • Inflation has hammered childcare providers

“That’s a concerning level of insecurity across the sector,” Suzanne Pearl, FCF’s Minnesota director, said in a recent webinar on the survey. “The childcare sector for years has been losing family childcare providers in particular, with not nearly enough new providers starting up to replace that capacity.”

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