Posted on 04/10/2016 4:04:25 PM PDT by Kaslin
Here’s an unusual story out of Texas which seems to defy all the conventional wisdom about employment trends and wages. The local press has noticed that nursing homes are having trouble filling the health care jobs at their facilities these days. That’s particularly curious when you consider that healthcare has consistently been one of the fastest growing job markets in the country for several years now. So where are all of the trained healthcare workers who would normally fill those jobs? It seems that an increasing number of them have packed it in and left for jobs flipping burgers. (KXAN News)
Some nurses and staff are quitting their jobs at Texas nursing homes for more money working at McDonald’s.
Advocates say it is a trend they are seeing state-wide causing a nursing shortage at long-term facilities. The Housing Appropriations Committee has been listening to advocates about the growing problem.
Texas has one of the lowest Medicaid reimbursement rates, which makes it difficult for nursing homes and service providers to offer competitive wages.
“You know, you can start off at McDonald’s at $13-$14 an hour in some cases, you could certainly find easier jobs for more money and that’s a real problem when you’re trying to keep good people in your facilities,” said Scott Kibbe with the Texas Health Care Association.
Here’s a short video from the local coverage which provides a bit more detail.
one of the fastest growing job markets in the country for several years now. So where are all of the trained healthcare workers who would normally fill those jobs? It seems that an increasing number of them have packed it in and left for jobs flipping burgers. (KXAN News)
Some nurses and staff are quitting their jobs at Texas nursing homes for more money working at McDonald’s.
Advocates say it is a trend they are seeing state-wide causing a nursing shortage at long-term facilities. The Housing Appropriations Committee has been listening to advocates about the growing problem.
Texas has one of the lowest Medicaid reimbursement rates, which makes it difficult for nursing homes and service providers to offer competitive wages.
“You know, you can start off at McDonald’s at $13-$14 an hour in some cases, you could certainly find easier jobs for more money and that’s a real problem when you’re trying to keep good people in your facilities,” said Scott Kibbe with the Texas Health Care Association.
Here’s a short video from the local coverage which provides a bit more detail.
There’s a parallel to the debate over the minimum wage here, though it’s not immediately obvious. First of all, the minimum wage in Texas hasn’t been impacted by the Fight for 15 movement yet, remaining at $7.25 per hour for the moment. But the state economy isn’t immune to the market forces which drive capitalism, and fast food workers in some high employment areas are earning as much as double the minimum just so McDonald’s can keep serving up meals. To be clear, this isn’t a bug in capitalism.. it’s a feature. Supply and demand affect the labor market as much as they do the sales of goods and services. Texas has a thriving economy with plenty of jobs, so everyone has to compete for the best employees. It’s a side effect of economic growth.
But here’s where the Texas situation does tie into the Fight for 15. Rather than focusing on loss of jobs in the lowest skill occupations, what happens when the government raises the bar to the point where jobs which require more work, training and skill no longer provide compensation which makes them attractive in comparison to flipping burgers? We’ve discussed this here before, but the situation in Texas seems to be one of the first signs of the phenomenon playing out in the real world. It’s true that, taking the long view, your top end earnings in the medical profession should far outstrip what you can make in a career in the fast food industry, but not everyone can afford to focus on the long view when they’re trying to put food on the table or get their kids into college.
Rapid, across the board increases in the minimum wage reduce incentive for job seekers to move into more skilled positions early on. Why go through a lengthy and sometimes expensive training or apprenticeship program to learn a growth skill when your neighbor who flunked out of high school is earning as much or more than you handing out shamrock shakes at the drive-through window? Keep an eye on this story in Texas because you’re going to see it start playing out in California and New York before very long.
Most nurses and nursing staff are not RNs
Mostly nursing techs and PNs.
Knew a practical nurse once who said jokingly that RN stood for real nurse and PN stood for pretend nurse
They are not paying 13.00 an hour at Mc Donalds maybe if you are a manager.
Pay scale for nursing homes is normally very low. A CNA or CMA is lucky to receive anything more than minimal wage and LPN’s (who really pull the bulk of work) might make $15.00/hr.
I agree. Working at a nursing home is a depressing, thankless job. I’m surprised they can keep any staff.
And that’s it. There will be an RN or 2 on staff at each station but all the real work is done by attendants (not sure what their official title is).
My mom spent a couple of months in a nursing home before she passed. All of my interactions were with the attendants. If I actually wanted to speak to an RN I’d have to hunt one down. If they were at the station and I asked for something they would call an attendant to do it.
“If the state takes up a $15.00 minimum wage, wouldn’t those low paying nursing home jobs now be 15 bucks an hour also?”
Sure - and who would opt for the health care jobs? They are much harder, and you are much more accountable, than simply dragging ass filling orders at a drive-thru. I think THAT is the point.
ok thanks. makes sense. I get it now.
I can’t imagine how this will ripple through the job market; if $15 is the minimum for any job, who wouldn’t want more for basic labor/physical work?
Perhaps things have changed, but when I worked at McD’s in the middle 80’s the food was half-price for employees not free. Still, way cheaper than retail.
Anecdotally, my eldest daughter is a CNA about to graduate with an RN. My youngest daughter signed up for nanny jobs on some website for nannies. My youngest daughter has no formal training of any kind, just some helpful recommendations from folks in the church. My eldest daughter had to take an intensive six week course to become a CNA. The one summer my eldest daughter worked she made $13+/hour. The youngest daughter was making $15/hour. (There’s a four year difference between oldest and youngest). Needless to say, my eldest got discouraged and she won’t be working this summer. When she did, it was in an old-folks home.
Agree 100%
Let’s just SHOOT Gramma!
My retirement goes up with it!
I can pay off my mortgage with cheaper dollars!
Sorry Bucks 'R' Us!
Abusing old folks at nursing homes or spitting on burgers at McDonald’s - what’s it gonna be?
Instead, we have unreported inflation so retirees are getting screwed on their SS adjustments.
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