Press Release  Healey-Driscoll Administration Launches $2.5 Million Employer Child Care Innovation Fund 

Boston — The Healey-Driscoll Administration announced today the launch of the Employer Child Care Innovation Fund (ECCIF), a $2.5 million pilot program to help employers expand access to affordable, high-quality child care for working families. The fund will be administered by the Commonwealth Corporation Foundation, in collaboration with the Department of Early Education and Care (EEC) and Executive Offices of Economic Development (EOED) and Labor and Workforce Development (EOLWD).

As outlined in the Administration’s Workforce Agenda and Governor Healey’s Child Care Task Force, investments in “work supports” like child care are essential to attracting and retaining talent in Massachusetts. Affordable, accessible child care not only helps parents and guardians participate in the workforce but also strengthens employer productivity and supports the state’s long-term economic competitiveness.

“We know that far too many parents are being held back from returning to the workforce because of the daunting cost of child care. And that innovative solutions that expand access to affordable care are critical for our economic growth,” said Governor Maura Healey. “The Employer Child Care Innovation Fund will support the success of our child care providers and create more affordable child care options for parents so that they can get back into the workforce. We’re grateful to the Legislature for their partnership on creating this transformative program.”

“The Employer Child Care Innovation Fund underscores Massachusetts’ commitment to addressing one of the most pressing challenges facing working families today,” said Lieutenant Governor Kim Driscoll. “By fostering innovative partnerships between employers, child care providers and communities, our initiative will expand access to affordable, high-quality care, strengthen the workforce, and support the state’s long-term economic growth."

ECCIF will provide competitive funding for employer-led child care pilots. Over a two-year period, three to five grantees will be awarded grants ranging from $250,000 to $1 million. Each award requires a one-to-one employer match, with the strongest applications including both cash and in-kind contributions. Applications are due no later than 4pm Monday, November 3,rd 2025. This pilot is funded through the Fiscal Year 2025 state budget. 

The initiative is designed to test innovative models that make child care more affordable for families while building capacity in the sector. Examples of eligible projects include:

• Tuition assistance or shared-cost programs with contributions from employers, employees, and the state.
• Expansion or reservation of seats in local child care programs.
• Development of onsite or near-site child care.
• Infrastructure investments through community partnerships.
• Flexible scheduling or dependent care assistance programs.

“Families in Massachusetts and across the country are having trouble finding child care that is affordable and at the times and locations that work best for them,” said Secretary of Education Dr. Patrick Tutwiler. “I am excited to see how this innovative pilot supports our local businesses to help families find the care they need to work and setting our youngest learners up for lifelong success.”

“Accessible, affordable, and quality child care is an essential support for our workers and employers especially as we drive greater equity, affordability, and competitiveness across Massachusetts,” said Secretary of Labor and Workforce Development Lauren Jones. “This pilot will deliver a public-private partnership to complement efforts already underway by the Healey-Driscoll Administration with a focus on opportunities for employers to support child care as a workforce strategy.”

“Affordable, high-quality child care is one of the most powerful investments we can make in our workforce and our economy,” said Economic Development Secretary Eric Paley. “This fund will help test new models that make it easier for parents to stay and thrive in the workforce, while giving employers the tools they need to recruit and retain talent across every region and sector in Massachusetts.”

While ECCIF is open to employers across all industries and regions, priority will be given to proposals that:

• Support workers in high-demand sectors such as health care, life sciences, clean energy, and advanced manufacturing.
• Expand child care access in areas facing shortages of available seats.
• Benefit families with low incomes, infants, toddlers, and children with high needs.
• Serve historically underserved populations and families working non-traditional hours.
• Demonstrate strong plans for sustaining efforts beyond the pilot period.

"Accessible, high-quality early education and care is essential for supporting young learners to prepare for school and life success, and to enable their families to go to work, stay at work and pursue their economic mobility goals," said Early Education and Care Commissioner Amy Kershaw. "We are excited to learn from our new Employer Child Care Innovation Fund about how best to partner with and empower employers to invest in their employees to ensure a strong and competitive economy for Massachusetts."

“The Commonwealth Corporation Foundation is proud to bring together CommCorp’s deep employer relationships and grant expertise with the flexibility of the Foundation to launch this innovative program in partnership with the Department of Early Education and Care,” said Alanna Mallon, Executive Director of the Commonwealth Corporation Foundation. “The Employer Child Care Innovation Fund is a call to action, empowering employers and communities to lead transformative solutions that break down barriers to child care, fuel our workforce, and strengthen the economic future of Massachusetts.” 

"Equitable access to early childhood education requires an all-hands-on-deck approach," said Senate President Karen E. Spilka (D-Ashland). "The Senate has made this a priority year after year in our budget, and I’m proud to see the Healey-Driscoll Administration launching an innovative program like the Employer Child Care Innovation Fund. This pilot will give employers the tools they need to expand early education and care opportunities and give our kids the leg up they deserve."

Eligible applicants include Massachusetts employers or consortium of employers in good standing; licensed nonprofit early education and child care providers, including nonprofit-controlled organizations and family child care providers; and nonprofit intermediary organizations such as chambers of commerce, community-based organizations, community foundations, and community colleges. Eligible workers are parents who are payroll employees — not contractors — of Massachusetts employers and who work in the state.

“As a long-standing leader in K–12 public education, I commend the Healey-Driscoll Administration for launching the Employer Child Care Innovation Fund and I am hopeful that this initiative will move us closer to the goal of ensuring all families in the Commonwealth have access to high-quality, affordable early education and care,” said Assistant Majority Leader Alice Peisch.

“The Employer Child Care Innovation Fund will promote critical, new partnerships between employers and childcare providers in Massachusetts that will support working families,” said Senator Jason Lewis, Senate Chair of the Joint Committee on Education. “Access to high-quality, affordable early education and childcare is essential for the healthy development of young children, as well as for the economic well-being of working families and employers across the Commonwealth.”

“High-quality, affordable child care delivers benefits that extend across all age groups and industries,” said Representative Ken Gordon, House Chair of the Joint Committee on Education. “I’m grateful that both the Legislature and the Administration are united in advancing the important goal of expanding access to child care throughout Massachusetts.”

“Access to affordable, high-quality childcare is both an education issue and an economic one,” said Senator Jake Oliveira, Senate Chair of the Joint Committee on Labor and Workforce Development. “When we invest in childcare, we’re not only supporting our youngest learners, we’re strengthening families, empowering parents to stay in the workforce, and ensuring that Massachusetts continues to be a place where both people and businesses can thrive.”

“The Commonwealth’s employers are competing for talent in every sector, and accessible childcare is key to keeping our workforce strong,” said Representative Paul McMurtry, Chair of the Joint Committee on Labor and Workforce Development. “This pilot program will help employers partner with businesses and communities to build impactful solutions that strengthen both families and our state’s economic future.”

Learn more at https://commcorp.org/news/commonwealth-corporation-foundation-launches-rfeoi-for-employer-child-care-innovation-fund-eccif/. 

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