Quality Early Education and Childcare Necessary for Creating Generational Wealth

By Scott Benson, Detroit City Councilmember

Improving childcare and early education options in the City of Detroit is a challenge, but my office is actively finding ways to make an impact. My interest in this issue deepened while chairing the Wealth Generation Task Force (WGTF), where we identified education as one of our six pillars. Quality early childhood education is crucial because it helps families achieve economic security by enabling parents to fully engage in the workforce, while also ensuring our youngest residents are prepared for kindergarten on day one. This early preparation can have a profound impact on their future trajectory.

One challenge we face as a city is that we have no direct responsibility for K-12 education, which falls under the State’s purview. However, the WGTF has focused its attention on the Brightmoor Childcare Quality Initiative (BQI), supported by the Max and Marjorie S. Fisher Foundation, as a model that can be expanded across Detroit. Doug Bitonti Stewart, Executive Director of the foundation, put it well: “Putting resources in the hands of the caregivers and teachers who prepare our littlest ones to enter the kindergarten door ready to go is one of the most important investments we can make as a community.”

The BQI has made tremendous progress in improving kindergarten readiness, family outcomes, and the overall quality of childcare in Brightmoor. Between 2008 and 2023, BQI members raised kindergarten readiness from 15% to 75%, improved the average state quality rating by 150%, and expanded licensed childcare seats by 204%—from 225 to 684. Additionally, the teacher workforce grew by 404%, and teacher salaries increased by 72%. Notably, in 2015, only 50% of BQI members viewed themselves as business owners or educators; by 2023, 100% identified as both. This shift demonstrates the empowerment and professionalization of early childhood educators in Brightmoor. (Foundation, The Brightmoor Quality Childcare Initiative: Impact Report: 2008 – 2023, Executive Summary, 2024.)

How do we replicate this success citywide? The Office of Early Learning (OEL) is working with the Detroit City Council and the Planning Commission on a zoning ordinance text amendment to encourage more home-based childcare centers. The OEL estimates that 12,000 parents in Detroit are unable to fully participate in the workforce due to the lack of affordable, quality childcare. In addition to this, the OEL and Detroit at Work are collaborating with existing childcare centers to help improve their business models and staffing practices. To further expand access, we also need employer buy-in from businesses large and small to make childcare more affordable and accessible for working families.

Many view childcare as a personal issue, but it has vast societal and economic implications. Access to high-quality childcare is directly tied to economic growth and small business sustainability. When families have reliable childcare, absenteeism decreases and productivity rises. Investing in childcare doesn’t just benefit parents—it makes good business sense and helps prepare young learners for the education system, laying the groundwork for tomorrow’s workforce.

This is why it’s essential that both the private and public sectors work together to address this issue. A study by the Boston Consulting Group and Moms First found that companies investing in childcare benefits saw a 90% to 425% return on investment through increased employee retention, productivity, and job satisfaction. UPS, for example, saw improved retention—particularly among female employees—after providing last-minute emergency childcare options. This demonstrates that making childcare more accessible and affordable has tangible benefits for both businesses and employees.

The economic and societal benefits of affordable, quality childcare extend far beyond the immediate. Research shows that children who receive quality early childhood education are more likely to achieve better economic outcomes and are less likely to engage in criminal activity as adults. By giving children a strong foundation, we are setting them up for success and helping to break cycles of poverty, allowing families to build generational wealth.

Childcare is not just a personal problem—it’s a pressing societal need. If we are to build a resilient economy and a strong workforce, we must prioritize investments in childcare. It’s not just about helping parents now; it’s about creating pathways for our families to achieve long-term financial stability and success.