Women are increasingly leaving the workforce because they have to, not because they want to. | Vitaly Guriev photo on Unsplash

What you probably already know: New York State just announced plans to offer universal childcare. New Mexico last November became the first state to offer free childcare, regardless of family income. As women exited the workforce in record numbers last year, the demands of caregiving began to receive renewed attention, as the number of full-time workers juggling caregiving responsibilities rose at an alarming rate. New York-based Guardian Life Insurance Co. notes that employers who adopt policies around flexibility report lower rates of attrition and higher workplace satisfaction. “Retaining this talent is a business imperative,” says Stacy Hoin, Guardian’s chief HR officer. “Today’s workforce continues to undergo a profound transformation that will only accelerate in the years ahead.”

Why it matters: Progress is palpable, but there’s still much work to be done. A new study from Catalyst finds that caregiving is the No. 1 factor pushing women out of the workforce. More than 455,000 women left the workforce between January and August 2025, with 42% who voluntarily quit citing caregiving responsibilities such as childcare costs, which can exceed more than $15,000 annually in some states. They also tended to work in organizations lacking flexible schedules. The findings indicate conditions such as inflexible working hours, lack of affordable childcare options and low pay are the primary drivers of the exodus.

What it means: “This research makes clear that women’s workforce exits are not about a lack of ambition or commitment,” says Jennifer McCollum, president and CEO of Catalyst. “They reflect the reality that too many jobs still fail to account for caregiving responsibilities and economic pressures. If we want to understand why women are leaving, we have to look at how work continues to be structured.” One recent initiative by Paid Leave for All called attention to caregiving responsibilities in a unique and entertaining way by asking workers to set out-of-office email replies to reflect their caregiving responsibilities. Many were playful and humorous, but all reflected serious choices.

What happens next: The Catalyst survey lays out several steps for employers, adding that women are not opting out as much as they’re making difficult, practical decisions for themselves and their families. Among the recommendations:

• Provide scheduling flexibility that allows employees to adjust their working hours.
• Create policies around paid emergency care days, offer financial subsidies or onsite childcare options.
• Conduct routine internal audits around pay, representation and opportunity to help drive retention.

“Reengaging and retaining women require addressing caregiving realities,” says Catalyst Research Director Sheila Brassel, PhD., “that allow women not only to return to the workforce, but to thrive there.”

 

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