Impact of Tax Hike on Child Care Workers' Wages in Washington D.C.

SOURCE www.npr.org
Three years ago, council members in Washington D.C. raised taxes on the wealthiest earners to increase wages for child care workers, leading to positive outcomes for workers, child care centers, and families.

Key Points

  • Creation of Pay Equity Fund through tax hike benefited over 4,000 D.C. child care workers
  • Increased wages resulted in improved living conditions and job satisfaction for teachers
  • Boosted child care employment by nearly 7%
  • Generated a 23% return on investment over a year

Pros

  • Higher wages for child care workers
  • Increased stability and quality of care for children
  • Reduced turnover in child care centers

Cons

  • Uncertainty about future funding for the program