This summary describes the ongoing benefits of the District of Columbia’s wage enhancement program for early childhood educators, the Early Childhood Educator Pay Equity Fund, to early childhood educators’ financial well-being and mental health. The summary is one in a series that documents implementation findings from the initiative in fiscal year 2024.

Why This Matters

Early educators are often paid low wages, despite the important work they do promoting the well-being and development of young children. As a result, many experience economic hardship and related stressors that can negatively impact their mental health. Paying early educators higher wages can help them afford their basic needs and have greater financial security and less financial stress. In turn, improved financial and mental well-being can help educators provide high-quality care and improve child outcomes, benefiting children and families.

The District of Columbia began enhancing the wages of early childhood educators in its licensed child care facilities in 2022 through a landmark initiative supported by tax revenue. The initiative is designed to increase early educators’ wages to achieve pay parity between early educators and their K–12 school counterparts. These wage enhancements have demonstrated continued benefits for child care businesses, educators, and children.

What We Learned

Survey responses from early educators indicate that those who received wage enhancements had better financial well-being and mental health than those who didn’t.

• Early educators whose employers participated in the initiative in fiscal year 2024 report greater food security and financial well-being and lower rates of depression and anxiety than those whose employers did not participate.
• Receiving a larger wage increase as a result of the fiscal year 2024 wage enhancements was related to greater economic security and mental health.

How We Did It

We are undertaking a multiyear analysis of DC’s wage enhancement program for early educators in licensed child care facilities. For this analysis of fiscal year 2024 implementation, we administered voluntary web surveys in September–October 2024 and analyzed responses from 1,525 early educators and 67 home-based child care providers in DC.