Based on data from Statistics Canada’s Labour Force Survey adapted by Institut de la statistique du Québec we examined employment rates for mothers aged 25 to 54 with a child under the age of 6; those most likely to have used Quebec’s reduced-contribution daycare program.
In 1996, prior to its introduction, Quebec’s employment rate of mothers aged 25 to 54 years (59.9 percent) was lower than in the rest of Canada (62.3 percent) by 2.4 percentage points. From 1996 to 2019, mothers’ employment rate grew by 18.4 points in Quebec, which is 2.5 times the increase in the rest of Canada (7.4 points) and Ontario (7.2 points).
As a result, mothers’ employment rate is now significantly higher in Quebec in 2019 than in the rest of Canada (by an enormous margin of 9.1 points). The reduced-contribution childcare program is clearly, at least in part, an explanation for this reversal of the employment rate of mothers aged 25 to 54.
The data demonstrate the potential gains for Canadian governments to support development of a low-cost childcare system. As Deputy Premier and Finance Minister Chrystia Freeland pointed out in her fall economic statement, Quebec can show the way on childcare.
Luc Godbout is Professor, School of Administration, Université de Sherbrooke; and Chair in Taxation and Public Finance and Suzie St-Cerny is a research professional, Chair in Taxation and Public Finance.
