The rise of care economy businesses reshaping jobs, wages and respect for women workers
A childcare provider at work, as care jobs begin to deliver better pay, skills and dignity for women.
What you need to know:
- A new study shows how care businesses are translating theory into tangible income growth and dignity.
- From childcare to domestic work, enterprises are formalising jobs and improving wages, skills and recognition.
Practice without theory is blind while theory without practice is sterile. This adage is proving to be relevant with regard to translating the theory of the 5Rs of decent work (Recognise, Reduce, Redistribute, Reward and Represent) by the International Labour Organisation into programmes.
For starters, care work refers to tasks carried out to meet the physical, psychological and emotional needs of individuals and groups in the domestic and public sphere. Such work can be paid or unpaid. The 2024 publication, Pathways to Impact: How Care Economy Businesses Are Transforming the Lives of Women, by Holden, J., Bhuvanendra, D., Walton, K., and Calder, R. showcases what can practically be done to achieve the Rs.
This report highlights 20 case studies of care economy businesses in 12 countries across Africa, Asia and Latin America, demonstrating their impacts on women care workers and consumers. In Africa, the study covered Kenya, South Sudan, Nigeria, Zambia and South Africa. It notes that the female dominated care economy is characterised by underpayment, limited opportunities for professional growth and deficient legal recognition, leaving the workers vulnerable to exploitation. Three examples from Kenya illustrate how paid care work contribute to the Rs, hence dignify care work and workers.
Jazza Centre trains and links domestic workers to households and businesses. The enlisted workers reported a rise in their post-training wages to an average of Sh12,750 from Sh9,800. With this, they were able to save regularly because of improved economic status, translating into self-confidence and heightened sense of empowerment.
Strong Start provides childcare services for high-income households, skills upgrading for care workers and advocacy. The entity conducts skill verification through certification in more specialised areas such as first aid and motor skills, hence enables care workers to acquire recognition of their expertise. This gives them a competitive edge in the job market. It also enables the care workers to network with peers and mentors for camaraderie and mutual learning. The business has resulted in an increase in post-training monthly incomes from Sh30,000 to Sh45,000, exceeding the national average.
Tiny Totos provides knowledge, capital and networking for informal daycare businesses and advisory services to non-profit, governmental and private sector entities on childcare solutions. Its training for independent childcare providers covers topics like early childhood education, nutrition and first aid, moving care work into a formal and valued service. It helps owners of daycare centres with financial management skills, access to microloans and a digital app to track profitability. As a result, some beneficiaries have doubled their intake of children, leading to more sustainable and profitable businesses. It also facilitates knowledge exchange and peer support among daycare providers, with the learning translating into improved services.
Given that many care workers are unaware of their own rights, some of the businesses featured in the study incorporate awareness-raising initiatives on worker rights, emphasising the value of care work while enabling care workers better understand their entitlements.
The workers reported feeling empowered, recognised, valued and adequately rewarded for their services. This leads to a higher sense of respect, dignity and pride in their work as well improved self-esteem. The new status makes them more passionate about and committed to care work since they view themselves as professionals providing specialised services. This reflects on the satisfaction of their clients and the direct beneficiaries of their services. For example, parents using Tiny Totos’ childcare services reported positive impacts on their children’s language development, social skills, emotional wellbeing and overall health.
The study captures critical lessons on how to dignify care work. Formalisation of care work through legal contracts, fair wages and social protections help to stabilise worker income and provide security. Skills development and accreditation enhance job readiness and career growth, self-esteem and agency. Financial inclusion and professional networks facilitate access to capital and peer support for economic stability and social acceptance. Flexibility in work arrangements enhance workers’ overall well-being, management of burnout and job satisfaction.
These lessons on what works provide a template upon which care economy entrepreneurs can build, not only to increase profitability but also to make care work a valued and improved service, and care workers a cadre that is appreciated and treated with the dignity it deserves.
This is an immensely useful study that should be priority reading for entities engaged in policy making and research on the formal and informal economy. The Kenya National Bureau of Statistics (KNBS) would find it a relevant reference in line with its pioneering work on time use in Kenya. The publication also becomes an important compendium to the recently developed national care policy and the 2025 KNBS publication Economic Value of Unpaid Domestic and Care Work in Kenya.
The writer is a lecturer in Gender and Development Studies at South Eastern Kenya University ([email protected]).
