In a groundbreaking move, New Mexico became the first U.S. state to offer free childcare to most families, dramatically impacting lives and reducing poverty. Beginning during the COVID-19 pandemic and expanding in 2020, the initiative provides free childcare to families earning up to 400% of the federal poverty level (about $124,000 for a family of four), benefiting roughly half the state's children. The policy allowed individuals like Lisset Sanchez to complete her education and care for her growing family, while at-home providers like Ofelia Gonzalez saw improved wages and working conditions.
Meanwhile, Luxembourg has implemented its own measures to support families. The childcare service vouchers system (chèques service-accueil, CSAs), introduced in 2009, offers children under 13 reduced or free access to childcare facilities. Studies indicate that CSAs have reduced the risk of child poverty by 5% to 6% and the overall household poverty risk rate from 16.5% to 14.9%.
These initiatives highlight the profound impact of accessible childcare on reducing poverty and improving quality of life.