US chip makers must provide affordable child care options to get funds

The Commerce Department will require semiconductor manufacturers to provide affordable child care to get federal subsidies under the CHIPS Act.
President Biden speaks after touring a Taiwan Semiconductor Manufacturing Company facility in Phoenix, Dec. 6, 2022.
Posted at 9:37 AM, Feb 28, 2023
and last updated 2023-02-28 09:37:19-05

The Commerce Department says in order for computer chip makers to receive U.S. funding, they must provide access to affordable child care. 

The department confirmed the news to multiple U.S. outlets on Monday, saying if these U.S. manufacturing operations want to use part of the billions of dollars allocated to semiconductor companies, employees' families will need access to economically sound child care. 

The move comes after failed efforts by the Biden administration to pass federal policy to make access to child care more affordable nationwide. 

The Commerce Department confirmed to the media that it would officially make an announcement on the plan by Tuesday on the requirements to access some $40 billion in federal subsidies. 

It's uncertain how companies would offer child care access as the Commerce Department hasn't given specifics on that element of the plan. It's expected that companies could implement a number of methods, including sponsoring child care options or creating on-site facilities. 

The bipartisan CHIPS Act was passed last year to boost semiconductor manufacturing in the United States. 

The U.S. Commerce Department didn't immediately provide additional details of the plan to Scripps News ahead of its announcement.