Another area in which the top-ranking workers spend much more money – and a greater percentage of their income – on education for their children. Since 2001, the share of income spent on education by the top 20 percent has almost doubled, even though it has remained stable in the rest of Germany. Wealthy families pay for special tutoring, post-secondary activities and private schooling to give their children edge in school and college entries, and this trend has been further promoted by the pandemic. apartment for sale
As schools and daycare closed down for months, rich families searched for alternatives to ensure that their children did not lose an educational year. Wealthy parents also needed a break because they struggled to balance work and childcare at home. Some rushed into private schools to enroll their children. Others were turning to tutors.
During the downturn, childcare provider Bright Horizons has expanded its company partnerships considerably, as top employers are looking for a fast way to provide childcare and education, largely for their employees. Microsoft, Bank of America, Accenture, General Motors and mortgage giant Freddie Mac are clients of this company.
Big companies are offering stressed parents new benefits such as subsidized tutoring
Companies are also offering childcare support more and more. In recent years, Bright Horizons saw the profits jump 20 percent from its childcare backup business. The childcare provider has also increased its choices with the acquisition of Sittercity, a website for children, and the children's camp provider Steve & Kate's.
Kathy McIntosh runs the Capital Learners Education Services tutoring company in D.C. Her phone rang out of the hook in July as a reality that the pandemic was not going away in the near future: schools would be closed for much of the school year 2020-2021.
"This past year my business tripled—both with the number of customers and tutors," said McIntosh.
"learning pods," which included their children and some others, was the most popular option for parents in and around D.C. McIntosh began putting together groups of two to six students. A tutor would go to the backyard and wear masks. The focus was first on the basics: reading and mathematics. Then they added science and technology classes, a book club and theatre; parents always requested more options.
"Parents wanted more than a kid. They wanted someone with an education background not only to be a baby, but also to be a teacher," said McIntosh.
The pods began at $40 per hour—doubling a typical US worker's $20 hour wage. Private tutors, depending on the subject, can run from $70 to $200. McIntosh's demand was so great that she tripled her workforce from 15 to 50 with inquiries from elsewhere in the country and abroad. She recognized that many parents can't afford this was a luxury and said she partnered with local schools to offer free spots and discounts in pods.
As more schools reopen, richer parents are looking for private tutors to catch kids on all subjects they have fallen behind them, creating more educational disparities, as many low-income students have dropped off from the virtual school, because the internet did not work well enough to take classes consistently, data shows.
The rise of luxury education is another sign that the inequality that defined an early recovery of life for generations can be maintained without significant changes in the support of the lower and middle class.