Grant open to help boost pay for Alabama child care providers
Published 2:59 pm Wednesday, June 21, 2023
MONTGOMERY— Applications are now being accepted for Alabama child care providers to apply for the next round of child care employee bonuses.
The Alabama Department of Human Resources began accepting applications for the quarterly grant June 20.
Now in the seventh quarter, Child Care Workforce Stabilization grants aim to help child care providers recruit and retain workers as the industry recovers from the pandemic, according to the DHR. The program has awarded 8,430 grants to providers since the initiated in November 2021.
Licensed child care providers can apply for the grant through July 12 online at dhr.alabama.gov/child-care. If a provider’s application is approved, the grant will pay for quarterly bonuses of $3,000 for full-time employees and $1,500 for part-time staff.
Last quarter, more than 12,100 employees received bonuses for the sixth quarter, an increase of 21 percent compared to the first quarter.
“Supporting Alabama’s hardworking child care employees not only benefits our families but also our workforce and economy,” Alabama DHR Commissioner Nancy Buckner said. “We are pleased to once again offer them these bonuses as they continue serving their important role in our state.”
The two-year grant period, set by federal law under the American Rescue Act, is scheduled to end in September 2023.
To qualify, providers must be licensed and operating in good standing with DHR when they apply and receive a grant. They must also remain in operation for at least one year after a grant is awarded.
The DHR has also been administering child-care related ARA funding through its Temporary Assistance for Stabilizing Child Care grants, which pay eligible providers $2,000 for each daytime child care slot to help cover operating costs.
In a September 2021 interview, Lexie Willingham, director of Heritage Learning Center in Cullman, Ala., told CNHI she received 15-20 online applications a week, but only one to two people apply in-person as required.
“We really don’t have people putting in applications honestly. We had a lot of people applying online but they won’t come in to put in a paper application and set up an interview,” Willingham said. “I think they’re trying to show that they’re applying for jobs but aren’t actually seeking employment.”
Willingham reported at least two full-time vacancies and three part-time vacancies at the time, which resulted in the current staff working longer hours and office staff having to help in classrooms.
The center received a grant from the state during the pandemic, which allowed Willingham to boost pay for current employees and increase the starting pay to $9-$11 per hour based on experience.
That was still below the national child care worker pay, estimated at $12.24 in May 2020 by Bureau of Labor Statistics and a clear indication that low pay is a major contributing factor to staffing shortages.
“There’s so many places that are offering such higher pay now, and you really can’t compete without increasing child care rates significantly,” Willingham said, adding that only four employees had remained since the start of the pandemic.