The financial and social implications of on-site childcare facilities within Maltese audit firms

Abstract

Purpose: This study seeks to explore the financial and social implications of on-site childcare facilities within local audit firms. The objectives of this study are: to analyse the financial and social implications of on-site childcare facilities within a Maltese audit firm that offers an on-site childcare facility; to evaluate the potential financial and social implications of having on-site childcare facilities in Maltese audit firms that currently do not offer an on-site childcare facility; and, to investigate the impact of on-site childcare facilities on the accountancy profession. Design: A mixed methods research approach was selected for the purpose of this study. Qualitative research in the form of semi-structured interviews was utilised for the first objective whilst semi-structured interviews and a questionnaire were used for the second objective. The third objective was explored through the data gathered to investigate the other two. Fifty-nine participants, consisting of accounting professionals and human resources personnel, participated in the study. Thirty-five responded to the questionnaire, and 14 participated in semi-structured interviews. Findings: The on-site childcare facility influenced the recruitment, retention, and productivity of the audit firm. Moreover, it reduced stress among working parents as it addressed their needs. On-site childcare also had a positive impact on the networking and career progression of employees. Concerns voiced by participants regarding the implementation of on-site childcare in firms that currently do not offer it included liability issues related to health and safety, and costs in setting up and running the facility. Nonetheless, participants thought that on-site childcare is beneficial, and would consider implementing it when demand increases. Participants also reported that turnover due to childcare responsibilities was not common within audit firms due to flexible working arrangements. However, such arrangements have negative effects on career progression, resulting in a lack of female professionals in higher-level posts within local audit firms. Conclusions: This study shows that having an on-site childcare facility within an audit firm delivers both financial and social benefits for the employees and the firm. However, flexible working arrangements should remain in place. This study also shows that on-site childcare enables women’s career progression as it eases their stress, which is also the main reason for female labour turnover among accountancy professionals. Overall, on-site childcare positively impacts the accountancy profession itself, as it may prevent shortages in the workforce and gender disparity in higher-level posts. Value: This study seeks to shed light on the continuous need for policies and initiatives that help working parents achieve a work-life balance in the accountancy profession, which in turn improves the productivity and sustainability of local audit firms.