More than a third of employers who currently offer childcare vouchers are considering scrapping their schemes before the government replacement is finalised.
According to a poll of HR and benefits professionals by Jelf Employee Benefits at its employment seminar last month, 36% of firms were considering ending their childcare voucher scheme.
Speaking at the event, Jelf head of benefits strategy Steve Herbert warned that dropping workplace childcare vouchers could stop staff working.
Herbert noted that the new system proposed by the government was not as good as the system it was replacing.
"For some people childcare vouchers are really key. It might be minor to you, but to them it may be huge. If you put it away now may not be able to carry on working and may also disengage them," he said.
The release of the results prompted Herbert to renew his concerns.
He added: "If employers pull the plug on their childcare voucher offering prior to the commencement of the new system, they are condemning their workers to a period with no government support for this significant daily cost, and also potentially preventing some parents from ever again being able to achieve such support in the future.
"Jelf would therefore strongly urge employers to consider the implications to both employees and employer before any decision to remove childcare vouchers is taken."
