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Preschool and Daycare Discussion
Reply to "Class sizes going forward "
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[quote=Anonymous][quote=Anonymous]Daycares are operating at a loss with these reduced class sizes, which pretty much double their payroll costs in relation to their tuition revenue. They won't be viable businesses for much longer unless DC goes back to their pre-COVID class sizes, which resulted in razor-thin profit margins even then. The only reason the centers that haven't folded yet are still open is PPP assistance, and that dries up fast with negative revenue month after month.[/quote] Similar situation at our daycare. Ours is currently operating on a reduced schedule so that the same teachers can stay with the class all day (previously there were two rotations that switched out midday. So they've been able to reduce staffing costs a bit and no longer serve lunch, but are still in the red even with the PPP money. They did say though that it isn't just the capacity, there would need to be more families comfortable returning. [/quote]
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