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Childcare in Canada: Costs, Availability, and Impact on Newcomers

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Canada is a country known for welcoming newcomers from around the world, and many of these newcomers arrive with young families. Access to affordable childcare is not only crucial for ensuring the well-being of children but also for driving economic growth and social prosperity.

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Childcare plays a pivotal role in promoting greater labor market participation, particularly among mothers. A shining example of this can be seen in Quebec, where the introduction of a low-cost universal childcare program led to a significant increase in the labor force participation of women and the utilization of paid childcare services. Between 1998 and 2015, the number of hours worked by women with children rose by an impressive 9%, contributing a substantial $2.8 billion to the gross domestic product.

However, the absence of affordable childcare options can force newcomers, who often lack the support networks that Canadian-born individuals have, to stay home and look after their children. Additionally, newcomers may struggle to afford daycare services as they settle into their new homes. This discrepancy underscores the importance of accessible and affordable childcare options for newcomers.

Childcare Options in Canada

When it comes to finding childcare in Canada, there are several options available, including nannies, daycare centers, home daycare services, and before-and-after-school programs. The availability of these options varies depending on the province or territory, with those offering more generous public funding generally having a wider array of choices.

To find suitable childcare, newcomers should start by exploring their city’s website and the province’s Ministry of Education website, both of which provide lists of licensed childcare centers in the area. For unlicensed centers or informal care, community center bulletin boards and recommendations from other parents in the community can be valuable resources.

Newcomers can also seek assistance from local settlement service providers, as many of these organizations offer childcare services tailored to the needs of newcomer children. It’s essential to keep in mind that childcare spots in Canada can be limited, and many centers across the country have waiting lists. Therefore, it’s advisable to join a waitlist as soon as possible to secure a spot for your child.

Understanding Childcare Costs in Canada

In 2022, Statistics Canada conducted a survey on childcare services in Canada, collecting data on the costs of childcare based on the type of childcare and the province or territory of residence. On average, parents paid $7,790 per year for full-time childcare for their children aged 0 to 5 in 2022. This translates to an average monthly cost of $649 for full-time care or $31 per day.

When considering children in any number of hours of care per week, including part-time care, parents paid an average of $6,565 per year. This corresponds to an average monthly cost of $547 for part-time childcare or $29 per day. Interestingly, parents paid more for the care of children aged 0 to 3 compared to those aged 4 to 5. In 2022, the average cost for full-time childcare for 0-to-3-year-olds was $8,146 per year, whereas it was $6,880 for 4-to-5-year-olds in full-time childcare.

The cost of childcare also varied based on the type of arrangement. Parents paid the most for care provided by a non-relative in the child’s home, with an average annual cost of $7,957 for a 0-to-5-year-old child receiving full-time center-based childcare. For children in family childcare homes, parents paid an average of $7,042 per year for full-time care.

In the case of 0-to-5-year-old children who received full-time care from a non-relative in their own home, such as a nanny, parents faced a much higher average cost of $26,669 annually. In contrast, when a relative other than the parent provided primary childcare, the average cost was significantly lower at $3,517 per year, with many parents reporting no expenses for this type of care.

Childcare Facilities in Canada

As of April 2022, there were 12,466 childcare centers across Canada that provided full-time care to approximately 565,000 children aged 0 to 5, as well as part-time care to 152,200 children in the same age group. Approximately 4 in 10 of these childcare centers operated as non-profit organizations, although this ratio varied significantly from province to province, with Manitoba and Saskatchewan having the highest number of non-profit organizations.

Childcare centers with staff holding post-secondary early childhood education (ECE) training were more likely to offer higher-quality care. Rates of pay often depended on the level of ECE training among staff members.

Notably, there is also a significant number of home childcare providers in Canada. Between 2008 and 2015, there were approximately 268,000 self-employed childcare providers in the country. Interestingly, nearly 40% of these home childcare businesses were owned by immigrants, highlighting the entrepreneurial spirit within this community.

Childcare Usage Across Canada

Despite the challenges and costs associated with childcare, more than half of all children aged 0 to 5 in Canada participate in some form of childcare, though participation rates dipped during the COVID-19 pandemic. Daycare centers emerged as the most common type of childcare for this age group, with nearly one-quarter of children using these facilities. Approximately one in four children received childcare from a relative other than their parents, and one in five was in a family childcare home.

The utilization of childcare services during evenings or weekends was more prevalent among single-parent families and less common among families residing in Quebec and the Eastern provinces.

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