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Washington, D.C.-Acting on the recommendation of their labor-management partnership council, the National Treasury Employees Union (NTEU) and the Food and Drug Administration (FDA) are moving to implement a $200,000 program of child care tuition assistance at FDA that could result in savings to taxpayers of more than half-a-million dollars this fiscal year.

NTEU President Colleen M. Kelley described the partnership plan for child care tuition subsidy, which calls for spending up to $200,000 in agency funds in the current fiscal year, as "the kind of family-friendly program that is so important to both employees and agencies alike," and said the labor-management partnership "is the perfect forum in which to address it."

Kelley said the NTEU-FDA program "could well serve as a model" throughout the federal government.

Using a "business case" analysis for the program, the NTEU-FDA Labor-Management Partnership Council said it believes a $200,000 annual expenditure in child care subsidies for FDA employees could result in gross savings of as much as $526,500 for the agency, principally in improved employee retention resulting in savings in recruitment and training costs.

The partnership council said the agency could anticipate other benefits-while somewhat less quantifiable, they are no less important-including retention of vital knowledge, skills and experience, reductions in absenteeism rates related to child care problems, and improved morale and greater productivity.

Under the pilot program approved by Congress, agencies are to establish their own criteria for child care subsidies, within guidance offered by the Office of Personnel Management (OPM).

Adopting its partnership council recommendations, the FDA program sets an eligibility level of $45,000 in total annual family income, and provides a sliding scale, with lower-income families receiving a higher percent of their child care costs in subsidy. A cap of $4,000 per family also is in place.

NTEU has been the leader in pursuing child care assistance for federal employees, and has programs in place, in addition to FDA, with another Health and Human Services (HHS) agencyCthe Substance Abuse and Mental Health Administration (SAMHSA), which was the first under the pilot program authorized by CongressCas well as with the Internal Revenue Service (IRS) and the Federal Deposit Insurance Corporation (FDIC).

Kelley said NTEU is continuing its effort in other agencies and said the work done by the NTEU-FDA partnership council in identifying the significant savings potential in a child care tuition assistance program "should serve as encouraging news for agencies" that are still considering implementing a program.