B.C. Finance Minister Carole James visits a Victoria daycare on the eve of her first budget, allocating $1 billion over three years to expand child care, Feb. 19, 2018. (Tom Fletcher/Black Press)

Quebec daycare subsidies offer warning for B.C., study says

Over-55 women more likely to join paid workforce than young mothers

B.C. is following in the footsteps of Quebec 20 years ago, rolling out a subsidized daycare program to help mothers get back into the paid workforce.

A new study by the Fraser Institute compares the Quebec experience to B.C., where the new NDP government has embarked on a 10-year plan to provide universal daycare. Using Statistics Canada and other data, it finds that the employment and other benefits of subsidizing child care may not be what the B.C. government expects.

Quebec established $5-a-day universal daycare in 1997, when the employment rate for mothers was just under 70 per cent. That has risen to 83.1 per cent by 2017. But B.C. is starting with a maternal employment rate of 78.8 per cent, so the room for employment growth is substantially less in B.C., the study concludes.

Increased workforce participation was the basis for the B.C. NDP’s promise in its 2017 election platform that heavily subsidized daycare would pay for itself over the long term, through greater income tax revenue to the province.

Statistics Canada data show that in the 20 years of the Quebec program, employment among women aged 55 and over rose almost twice as much as employment by women of child-rearing age, 25 to 44.

The study also found greater employment increase among women 25-44 in Atlantic Canada, which did not have a subsidized daycare program. That may have been due to the federal Conservative government’s tightening of Employment Insurance rules in the region, a policy reversed by the Justin Trudeau government.

Finance Minister Carole James announced in her February budget that B.C. is committing $1 billion over the next three years, to provide 22,000 new licensed daycare spaces and add more training spaces for early childhood educators.

RELATED: New spaces a step to universal child care

The bulk of the B.C. NDP commitment, $630 million, is to subsidize parents and licensed daycare providers. For parents, the per-child subsidy ranges from $330 to $1,250 per month, reducing as income rises and falling to zero for households with a gross income of $111,000 per year.

“Policymakers in B.C. should heed Quebec’s warning, and instead consider providing resources directly to families to help cover the costs of whatever individual approach to daycare works best for them,” said Vincent Geloso, a Fraser Institute researcher and author of the study, Subsidized daycare – What British Columbians can learn from Quebec’s 20-year experiment.

Just Posted

Kimberley’s Ron Rossi wins a million dollars

B.C.’s newest millionaire is none other than Ron ‘Midnight’ Rossi. Rossi, an… Continue reading

Plan unveiled for Cranbrook winter festival

X-Games style event with snowmobilers, snowboarders and bands planned downtown on Feb. 16, 2019

Kimberley RCMP conduct road checks

Arrests and charges the result of separate road checks

Snow expected in East Kootenay over next 72 hours

Mainroad, the contractor for East Kootenay highways has issued a weather statement… Continue reading

Another two win weekend for the Kimberley Dynamiters

JOSH LOCKHART The Kimberley Dynamiters hosted top teams from the Neil Murdoch… Continue reading

Minister appoints former CIRB chair to resolve Canada Post labour dispute

Postal workers engaged in weeks of rotating walkouts

B.C. man linked to human remains probe to stand trial on unrelated assault case

Curtis Wayne Sagmoen will appear on all three Vernon matters this week

B.C. lumber industry trade mission still has high hopes for China

Forests Minister Doug Donaldson cut short trip after Japan, Korea stops

Lawyer for Chinese exec detained by Canada says it’s ‘inconceivable’ she would flee

Meng Wanzhou was detained at the request of the U.S. during a layover at the Vancouver airport

Omar Khadr to ask for Canadian passport to travel, permission to speak to sister

He spent years in U.S. detention at Guantanamo Bay after he was caught when he was 15

One of Tori Stafford’s killers transferred to medium-security prison

Michael Rafferty was sentenced to life in prison in 2012 in the kidnapping, sexual assault and first-degree murder of Tori Stafford

‘Abhorrent’ condition of autistic B.C. boy shows flaws in care system: report

‘Charlie’ was underweight and ‘covered in feces’ when he was removed from his mom’s care

Military closes book on oft-criticized support unit for ill, injured troops

The transition unit will provide support and services to military members struggling with physical and mental injuries so they can return to work.

Most Read