Market Update: Michigan economy depends on access to child care: opinion – Full Analysis

For employers, the challenge is clear: a strong workforce depends not just on wages and benefits, but on whether employees can reliably balance work and family responsibilities. When child care costs and access create barriers, even the most skilled workforce cannot perform at full capacity. This is a business problem, not just a family issue — and it demands innovative solutions that work for both families and employers.

MI Tri-Share is Michigan’s employer-based child care benefit designed to help working parents stay in the workforce while maintaining affordable, high-quality care for their children. The program splits licensed child care costs equally between an eligible employee, their employer, and the state. Families qualify for the state’s contribution if household income falls between 200% and 400% of the federal poverty level, and employers may opt into MI CareShare to extend the benefit to employees who don’t meet the state’s income eligibility, while still receiving administrative support at no cost.

The value of Tri-Share is immediate and tangible. Since launching, the program has grown to support almost 300 participating employers with over 960 families currently approved statewide, and has generated over $12 million in total child care savings. 

Those savings translate directly into workforce stability, helping remove a barrier that often pushes parents to reduce hours, decline advancement opportunities or leave the workforce altogether.

By giving employers a low-cost way to offer an in-demand workplace benefit, MI Tri-Share helps businesses retain experienced and skilled workers, stabilize operations and compete for talent in a tight labor market. In an economy where participation and productivity drive growth, these outcomes matter— not just to individual companies, but to Michigan’s broader economy.

Tri-Share is an innovative, bipartisan public-private investment that treats child care affordability as a shared responsibility. Reframing child care as a workforce solution rather than a personal challenge, the program reflects an understanding that a competitive economy depends on workers who can show up, stay engaged and build long-term careers. 

Tri-Share is just one example of how the state is addressing workforce challenges by tackling child care affordability. Michigan’s Child Development and Care (CDC) program also plays a critical role by supporting lower-income families with access to child care. Today, more than 46,000 children from Michigan families rely on CDC to access low- or no-cost care, helping parents remain employed or pursue education knowing their children are safe and learning.
But affordability alone is not enough – it must be paired with sustained investment in the early education workforce and the infrastructure that supports it.

Launched in 2022, Michigan’s Caring for MI Future initiative accelerated efforts to expand access to quality, affordable child care statewide. With a goal of opening 1,000 new child care programs in two years, the initiative led to the opening or expansion of more than 3,600 child care programs in the state by the end of 2024, strengthening the supply of care families and employers rely on. 

Building on that momentum, Michigan continues to invest in increasing early learning options to serve more children and families. As part of the FY26 state budget, MiLEAP recently awarded nearly $10 million in Great Start Readiness Program (GSRP) Start Up Grants to open and expand 246 additional PreK classrooms statewide. 

These investments address real operational barriers for providers and help ensure communities have the capacity needed for PreK for All, which currently serves more than 53,000 four-year-olds, saving families an estimated $14,000 per year and ensuring every child can access high-quality preschool at no cost, regardless of family income.

Michigan’s approach reflects a simple reality: workforce challenges demand coordinated solutions. Employers, families and government each have a role to play in ensuring that child care systems are stable, accessible and aligned with the needs of a modern economy.

Employer-driven models like MI Tri-Share, combined with statewide investments in PreK and early learning, demonstrate how shared responsibility can produce tangible results. These efforts reduce barriers to work, support the educators and providers who make child care possible and strengthen Michigan’s competitiveness in attracting and retaining talent.

Addressing affordability and access is not a short-term intervention. It is a long-term economic strategy. By continuing to invest in both working parents and the workforce behind them, Michigan is building a more resilient economy — one where businesses can grow, employees can prosper and the economy can thrive.

Beverly Walker-Griffea is director of the Michigan Department of Lifelong Education, Advancement, and Potential (MiLEAP).