Nowadays employers are in search of new fringe benefits, they can provide to their employees. In March 2017, Prime Minister Narendra Modi had assent some amendments in Maternity Benefit Act. He had not only revised paid maternity leaves from 12 weeks to 26 weeks but also made it mandate for companies having more than 50 employees should have their own childcare centers inside the campus or near-site. The employer-sponsored daycare facility is the new fringe benefit provided by organizations to their employees. The purpose of my study is to study the issues parents are facing in childcare. The focus of my work is to find out the impact of employer-sponsored childcare facility on employees and employer. Also, I have studied few organizational cases in this paper. My research work is based on secondary data. Very little research work is available on this topic. So I got very less literature to review. After reading few articles, research papers and reports, I came to the conclusion that every parent of small kids is facing issues in childcare. Many organizations which are providing this facility have experienced growth in productivity and employees who are availing this facility have improved their performance.