The Cost of Care: How Childcare Deficits Limit Economic Progress in Honduras

In Honduras, the struggle for gender equality in the labor market is stark. Despite widespread recognition of women’s role in economic development, less than one-fourth of children under primary school age are enrolled in formal childcare or preschool. This gap directly hinders women’s ability to join or rejoin the workforce. With only 1.2% of children aged 0–2 attending early stimulation centers, and 37.9% of those aged 3–5 enrolled in preschool programs, a large portion of caregiving responsibility falls to mothers, who face immense barriers to employment as a result.

Among Latin American and Caribbean nations, Honduras holds the unfortunate distinction of having the second-widest gender gap in labor force participation, 35.4 percentage points, trailing only Guatemala. Just 40% of working-age Honduran women participate in the labor market, compared to 75% of men. The COVID-19 pandemic worsened this disparity: one in five working women quit their jobs to care for children during the crisis, while school and childcare closures made recovery even harder.

Cultural Norms and Policy Gaps Undermine Progress

Deep-seated gender norms fuel this crisis. According to the 2021 Honduras Childcare Demand Survey, nearly half of the women surveyed identified housework as their main activity, compared to just 2% of men. Over 60% of women believe that children suffer if their mothers work outside the home, an attitude that reflects entrenched expectations around caregiving. This belief is not limited to mothers. Other female household members, grandmothers, aunts, and older sisters, are more likely than men to provide care, reinforcing a generational cycle of domestic confinement.

These cultural barriers are compounded by policy shortcomings. Honduras lacks a centralized regulatory body for childcare services for children aged 0–3. Unlike preschool education (for ages 4 and up), which is monitored by the Ministry of Education, early childcare centers often operate with little oversight or quality control. Public and private centers alike set their own standards, with limited consistency in health, nutrition, or education protocols. The result is a fragmented, unreliable system that fails to meet the needs of working parents, especially women.

An Uneven Playing Field: Funding, Access, and Employer Incentives

Beyond regulation, the funding landscape for early childhood care is alarmingly thin. While Honduras allocated 1% of its GDP to early childhood development in 2014, resources have declined since the pandemic, with a 2.4% drop recorded between 2019 and 2020. Compounding this issue, funding distribution is uneven, often bypassing municipalities responsible for running daycare centers. Many local governments lack the resources to maintain quality services, particularly in urban areas where working mothers are most concentrated.

Employer-provided childcare, a potentially powerful tool, is largely absent in practice. Though legislation mandates that companies with more than 30 women employees offer childcare, compliance is rare. The law reinforces gendered caregiving by targeting only women, ignoring the principle of co-responsibility between parents. Businesses cite cost burdens, and enforcement mechanisms remain weak. In contrast, countries like Mexico have adopted dual models, combining demand-side subsidies (e.g., vouchers for families) with supply-side support for providers, ensuring both access and quality.

Understanding Demand: Why Families Opt Out of Childcare

A large part of the childcare gap lies in awareness and perceptions. Many urban families do not use formal or even informal childcare options. For children aged 0–2, the most common reason cited was a lack of understanding of what childcare is. Among families with children aged 3–5, nearly 93% said the child was “too young” to attend a center, while others pointed to cost and lack of nearby services. These responses reveal a broader issue: the benefits of early stimulation and education remain poorly understood among the population, and availability is patchy at best.

The report’s findings also highlight how the labor potential of women aged 25–45, many of whom are mothers of young children, is significantly underutilized. Increasing their participation in the workforce is essential to driving inclusive growth and alleviating poverty. But without a supportive childcare infrastructure, their economic contributions remain out of reach.

A Blueprint for Reform: Five Steps Toward Childcare Equity

The World Bank brief outlines a pragmatic, five-point policy agenda to address Honduras’ childcare crisis. First, it urges stronger institutional coordination, led by high-level ministries, to unify oversight and delivery of services for the critical 0–3 age group. Second, it recommends revising employer mandates to include all parents, not just mothers, to promote shared caregiving responsibilities.

Third, it suggests scaling community-based crèche models where trained caregivers provide local, home-based childcare supported by public subsidies and household vouchers. Fourth, the report calls for tackling social norms through education campaigns and expanding parental leave for both mothers and fathers. Finally, the brief stresses that childcare must be recognized as a public good, integral to economic development, not just a private family concern.

Addressing Honduras’ childcare shortfalls is about more than convenience, it’s a matter of equity, empowerment, and long-term economic sustainability. If properly resourced and managed, childcare can become a powerful lever to narrow gender gaps, boost productivity, and ensure that the country’s next generation gets the best possible start in life.