The ROI of Supporting Working Parents

Would you spend $1 to get $4 back? That’s the ROI some companies see when they implement policies that support working parents, especially breastfeeding moms. When they are not supported at the workplace, the company faces higher attrition, missed work due to caregiving barriers, and “quiet quitting.” Employee turnover is not just a staffing issue, but a financial drain that influences a company’s bottom line. The U.S. Office of Personnel Management estimates that turnover costs are 90 to 200 percent of an employee’s yearly salary, with costs including recruiting, onboarding, training, lost productivity, and institutional knowledge.

Many companies miss the hidden ROI of building in flexibility for working moms. At Healthy Horizons, we’ve seen at least three business gains firsthand, that show small businesses can lead the way:

Retention

Moms are more likely to stay, take fewer absences, and lower the company’s turnover. Patagonia, for example, boasts 95 percent retention of working moms due to support programs like on-site childcare, after-school pick-up programs and nursing at the workplace. Today, at least 25 children that went through the program are working for Patagonia as adults. At Healthy Horizons we have an option for extended maternity leave, and a bring your baby to work policy if parents want to return to work sooner.

Productivity

Parents with flexibility have fewer distractions and can manage time better. A recent UK study shows that almost 77 percent of managers claim productivity gains from family-friendly policies like flexible working hours, paid maternity leave, and remote work. This shows that employees who feel that their employer is invested in their well-being are willing to give more and do their best at work. Prioritizing scheduling around childcare pick-ups and drop-offs, when possible to flex with family needs like we do at Healthy Horizons, is no-cost and makes a big difference for working parents balancing work and family.

Innovation and revenue growth

Companies that invest in employees and their families see better innovation and higher revenue growth. As shown in BCG’s 2024 analysis, offering childcare benefits yielded up to 425 percent ROI. Retaining just 1 percent of eligible employees covers program costs. When working parents experience a positive culture at work, their companies get more than double the number of employees who innovate compared to their competitors. Regardless of the size of the business, this has a significant impact on revenue.

The bottom line shows: when you invest in people, they will invest in you. Family support at the workplace is not just a perk or charity, it is a smart business strategy. Companies providing comprehensive workplace lactation support through organizations like ours see retention rates rocket up to 94 percent with up to $75,000 in savings per employee returning to work post maternity leave. This pays off so quickly that it should not merit a second thought for employers in this competitive hiring landscape. Your most loyal team member might be a new parent, and they will stay and contribute to the company’s revenue growth if you give them the support they need to succeed.

Originally published by Cassi Janakos, COO of Healthy Horizons Breastfeeding Centers on Inc.com

https://www.inc.com/cassi-janakos/the-roi-of-supporting-working-parents/91219148