Could state-funded child-rearing system solve population decline and skills gaps?

So many developed countries face declining birth rates and persistent skills mismatches in the labor market (e.g see japan and most of east asia). Those that don’t have to rely on immigration for sustain population growth (e.g Canada) which is highly controversial (not saying this isn’t controversial too). I’ve been imagining a voluntary system where parents could opt in to have the state largely take over raising their child. They would get a one-time grant, and the state would provide healthcare, education, and childcare, using scale to reduce costs. Education would focus on broad skill families, with specialization later.

Firms would submit probabilistic forecasts of future labor needs by skill family, and training would be adjusted dynamically. Firms could share some of the training cost and risk. After graduation, a portion of income would be garnished to recoup the state’s investment, similar to income-contingent student loans. Repayment would be limited, flexible, and forgivable under hardship (so it’s not a form of debt bondage).

The idea aims to make having children profitable instead of a financial liability, thereby increasing fertility, and reduce the skill gap. Plus children rear under the state would have no need to support their parents. Could a system like this be economically viable compared to child subsidies, and Immigration?