$500 Retention Bonus Could Keep Military Childcare Workers for Another Year, Study Shows

A new study by the Buffett Early Childhood Institute at the University of Nebraska highlights a significant issue facing military childcare providers: low pay and high stress levels. The research reveals that financial instability is rampant among these workers, with approximately 20% experiencing food insecurity and one-third struggling with debt. Despite these challenges, many providers are deeply committed to their roles.

The study found that even modest financial incentives could have a substantial impact on retention rates. A one-time $500 retention bonus would likely keep six out of ten childcare workers who were at risk of leaving for another year. Walter Gilliam, the executive director of the Buffett Early Childhood Institute, emphasized the surprisingly low cost required to retain these essential employees.

The issue extends beyond individual financial struggles and affects military readiness as a whole. Without adequate childcare options, service members may be unable to fulfill their duties effectively, impacting overall military preparedness. Additionally, many military children follow in their parents' footsteps, making quality early childhood education crucial for future generations of service members.

Sabrina Dalton, the chief operating officer for Operation Child Care Project and wife of a Space Force guardian, shared her personal experience as a former preschool teacher who left the workforce due to childcare issues. She noted that many military families face similar challenges, often leading to financial instability and reduced employment opportunities for spouses.

Defense officials have been working on solutions to address these issues. Stephen Simmons, deputy assistant secretary of defense for military community and family policy, highlighted efforts to overhaul compensation models for childcare providers and hire specialists to support children with behavioral needs. Since June 2025, initiatives aimed at reducing the shortage of child care spaces have seen some success, decreasing unmet need from 12,000 to about 9,000 across Defense Department installations.

However, addressing these shortages remains challenging due to the lengthy military construction process required for building new childcare centers. The problem is also a broader societal issue, with nationwide shortages of qualified child care providers affecting both military and civilian families alike.

Raleigh Duttweiler, chief impact officer of the National Military Family Association, underscored the importance of high-quality early childhood education. "We’re going to change the idea that daycare is where you park a kid so a parent can go to work," she said, emphasizing the critical role childcare plays in children's development.

The study also revealed differences between on-base and off-base providers. On-base providers are more likely to leave their jobs due to low pay but are also twice as committed to making child care their career compared to off-base providers. This commitment is often driven by a sense of calling, according to Simmons, who noted that many on-base providers are older and more experienced in the field.

These findings underscore the urgent need for comprehensive solutions to support military childcare workers and ensure high-quality care for military children.