Strengthening the Workforce: Bringing the Business Owners’ Voice to NASLEE

By Abigail Sylvester, Chief Program Officer, First Children’s Finance

At the NASLEE Roundtable in Pittsburgh, I sat alongside national experts for a panel  discussion about the state of the early learning and care workforce— its history, its challenges, and its future. Albert Wat from the Alliance for Early Success skillfully moderated a conversation with Arabella Bloom of the Center for the Study of Child Care Employment (CSCCE) and Abbie Lieberman of First Five Years Funds (FFYF), to explore how research, policy, and on-the-ground realities intersect. Across the room, one goal resonated clearly: finding sustainable ways to strengthen and truly support this essential workforce. Despite real progress, early educators continue to earn some of the lowest wages of any profession.

The Business Owner’s Perspective

I had the opportunity to share what FCF hears every day from the child care business owners we serve. These are typically women running small but mighty operations—making payroll decisions, managing cash flow, and balancing community need with razor-thin margins. Their perspective adds an essential layer to national policy conversations.

At the roundtable, I emphasized how these business realities must be central to any policy or funding discussion if we want change that lasts.

Here are the key points I wanted leaders to take away:

• Compensation is a math problem, not a moral one. About 80% of expenses go to wages and benefits. Unless the subsidy rate pays the true cost of care, even the most dedicated owner can’t raise pay sustainably.
• Predictability matters. Stable funding—like prospective payments or multi-year grants—gives owners the confidence to increase base pay instead of relying on bonuses.
• Family child care (FCC) is different. FCC owners manage net income, not wages. Policies must reflect how taxes, benefits, and home-based expenses shape their business model.
• Business supports are essential. Providers need help modeling sustainable pay, planning renovation projects, identifying right-sized technology and handling taxes. With the right supports, short-term funding can become long-term stability.

State Examples

Across the states where FCF works, we’re seeing these principles in action— smart investments that account for the unique nature of the  child care business model and the realities of family child care.

• Minnesota has combined the Great Start Compensation Support Payment Program with technology and facility revitalization grants and technical assistance (TA) to strengthen both wages and business infrastructure.
• Vermont’s Act 76 dramatically increased subsidy rates aspiring to the true cost of care, giving providers more predictable income and the ability to plan for long-term wage growth. Plus, owners can access Make Way for Kids grants and TA to start up or expand their business, as well as Annual Quality and Capacity Incentive Payments.
• Michigan’s Nurture Benefits pilot will help providers and their employees access health and retirement benefits for the first time through a partnership with the Small Business Association of Michigan.
• Oregon’s Child Care Infrastructure Fund provides capital and business support for facility improvements, helping owners upgrade or expand programs, ensure safe, high-quality environments, and strengthen financial stability.

Moving Forward

Together, these examples show what’s possible when public investment, technical assistance, and policy alignment work in concert to support business owners and the workforce they employ.

To sustain progress, we must keep treating child care as essential infrastructure—and fund it accordingly.

First Children’s Finance partners with states and tribes to align early learning and care policy with the financial realities of child care business operations. When systems are designed with business in mind, they build stability for providers, families, and communities alike. Contact us to explore how we can support your work: infonational@firstchildrensfinance.org