Changes in the Nanny Industry Since the Pandemic

December 30th, 2021
by A Nanny Match

Changes in the Nanny Industry Since the Pandemic

If you've been seeking a nanny lately, you may have noticed how labor shortages, WFH, and inflation have affected the nanny industry. 

Here are some impactful ways private childcare in the U.S. changed throughout the pandemic and how people are adapting. 

  1. Remote Working and Adapting to Change

Parents' work productivity cannot thrive without childcare. 

More than half of respondents from a recent survey taken from Mckinsey from 350 senior executives said remote working had increased productivity compared with pre-COVID-19 levels. (briefing note #84, Dec. 8th, 2021)

The shift to WFH has opened up the minds of nannies and families to accept new changes needed to adapt.

Examples are families requiring more travel from their nannies and "full charge nannies" learning to work more closely with their employers working from home. 

As a leading NYC-based nanny agency, we've seen a significant increase in Weekend Nannies who can travel to homes outside of the city Saturdays & Sundays. 

We've also seen an increase in family assistant or House Manager roles that integrate tasks associated with helping the household run more smoothly.

We have talented career-driven nannies interested in growth outside of sole childcare. These tasks include but are not limited to scheduling and booking family appointments and travel arrangements, online shopping for groceries and household items, meal preparation, and more. If it's a hybrid nanny position, the additional responsibilities can be performed when the children are napping, at school, or otherwise engaged. 


  1. Relocation of Families, Labor Shortage, & Live-In Nannies 

Many families have moved away from the big city to suburban areas since the pandemic began.

Currently, the supply of career nannies in the suburbs cannot meet the demand.   

Many of these families hire live-in nannies, which opens up the job search nationwide.

Another solution is hiring a live-in nanny Monday through Friday, which opens up the search to candidates who live within an hour or two but are too far away for a daily commute.

However, living in is impossible for many nannies, so these jobs are still highly competitive.

In light of the pandemic, it's the safest way to prevent exposure to viruses and illness.


  1. Demand for Legal Payment from Nannies & Families 

Many nannies lost their jobs during the height of the pandemic.

Employees applied for unemployment only to learn they could not receive it without showing legal pay, which was a devastating but enlightening experience for childcare providers who agreed to cash payment.

When a former employee applies for unemployment, they must list their former employer's information. 

Employers can get audited by the IRS after they receive the UI applications, and some employers get sued by former employees who did not understand the repercussions of illegal payment. 

The rise in these unfortunate events led to increased awareness of the benefits of legal payment on both sides. 

Employers who pay legally can expect to find more serious candidates, a higher retention rate, and a higher degree of job satisfaction.

  1. Work-Life Balance

The majority of candidates are now seeking jobs that allow them to do what they love and allow them time to lead an active, healthy lifestyle and valuable time spent with their family members and friends. 

The positions that require nannies to work 60 hours a week have always resulted in higher turnover rates due to burnout. Now, most applicants will not even apply to them. 

A successful solution for families who need more than 50 hours a week of childcare coverage is to hire a second nanny, which is why we're seeing so many more weekend and weekday hybrid positions. 


      5. Salary Increases

Along with inflation, salary needs and expectations have also increased since the pandemic began in 2020.

The average $20 - 25 net hourly minimums are now around $25 - 30 net minimums in the city, with rates in the suburbs not too far behind.  


A Nanny Match remains dedicated to finding compatible matches for families and nannies throughout these changes. If you have any questions about the information above, please don't hesitate to reach out to us for more details.