Gwangju City to Fully Cover Increased Childcare Fees for Daycare Centers

Monthly Increase of 7,000 Won and Annual Necessary Expenses Up by 61,000 Won
An Inevitable Measure Due to Minimum Wage and Price Increases
"Adjustment of Fee Limits... Expectation for Improved Quality of Childcare"

Gwangju City held a Childcare Policy Committee meeting on the 17th and decided to raise the maximum childcare fee for daycare centers by 7,000 won compared to last year, and increase the necessary expenses by 61,000 won annually. Provided by Gwangju City

Gwangju City has decided to increase daycare fees and necessary expenses for this year, with the entire increase in daycare fees to be covered by local government funds. This is aimed at alleviating the financial burden on parents.

According to the city on the 18th, the Daycare Policy Committee, which convened on the 17th, determined and announced the maximum limits for necessary expenses and daycare fees at private and home-based daycare centers. The daycare fee will be raised by 7,000 won per month compared to last year, and necessary expenses will increase by 61,000 won per year.

This increase takes into account recent difficulties in operating daycare centers, rising prices, and increases in the minimum wage. Under the Infant Care Act, the heads of local governments are required to set annual limits on daycare fees and necessary expenses that daycare centers can collect from parents.

The maximum limit for daycare fees at government-supported facilities follows the fee determined by the central government. In contrast, for private and home-based daycare centers that do not receive personnel expense support, the fees for classes for children aged 3 to 5 will each be raised by 7,000 won compared to last year. Among the seven categories of necessary expenses of a “cost reimbursement” nature borne by parents, such as special activity fees and transportation fees, the maximum limit for three categories will be increased by 61,000 won per year.

In particular, the city has decided to fully cover the increased difference in daycare fees with local government funds to realize free childcare, so there will be no additional burden on parents for daycare fees. However, parents will still be responsible for necessary expenses of a cost reimbursement nature. Detailed information on the “2025 Decision on Maximum Limits for Daycare Fees and Other Charges” announced this time can be found on the Gwangju City website and will take effect from the 1st of next month.

Lee Youngdong, Director of the Department of Women and Family, said, “With the adjustment of the maximum limits for daycare fees, we expect more stable operation of daycare centers and an improvement in the quality of childcare.”