Proof There's No Nursing Shortage: Show RN's the MONEY

Nurses General Nursing

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This is a case study in how the nursing shortage is really a myth. When you pay RN’s really well and give them great benefits … the shortage, for the most part, disappears. The real solution to the nursing shortage is paying RN’s more money.

This post is going to be long, but I think you’ll find it interesting. Just a little over a year ago, the California Department of Corrections had an RN staff vacancy rate of 40 percent. However, since the level of care was substandard, inmates had filed a lawsuit where a federal judge and receiver took over the prison healthcare system.

To improve the level of care, the judge ordered pay raises last year where corrections RN’s made nearly $80K a year with full state benefits, which are excellent … much better, actually, than most private hospitals. Despite claims that they’re doing everything they can to attract nurses, many hospitals (at least in my area) have actually cut back on benefits (especially pensions) in the last couple of years.

With the first court ordered pay raise, the vacancy rate dropped from 40 percent to 15 percent, which is about the same as staff vacancy rates at California hospitals in my area. That’s a 25 percent reduction in staff vacancies in just a few months. And, this is in California where we supposedly have less nurses per capita than any state other than Alaska.

But the judge didn’t stop there. Since the average California RN already makes more than $70K a year on average, and the judge wanted the prisons to be fully staffed, he ordered yet another pay raise … nearly $90K to start at most facilities beginning this year and, even more pay in the Bay area where the pay and cost of living is higher. Once you put some time in, the pay gets up to $100K at most facilities.

As you know, to make that kind of money with a lot of hospital RN jobs it’s not unusual to have to work two jobs and/or a ton of overtime as well as forfeiting benefits like health insurance, etc. But corrections RN’s did not have to forfeit any benefits in this case. And, while $100K may not be great pay in the Bay Area, it’s fantastic pay in other areas of the state, including where I live.

The result? Not only were the five state prisons in my area fully staffed with RN’s BUT … I discovered that over 3,000 RN’s are now waiting to get hired by the Department of Corrections statewide! In my particular area, each prison had a waiting list of 200-300 RN’s! With a few exceptions, the only available positions were in more rural, isolated areas which have always been difficult to staff.

Could you ever imagine 3,000 RN’s standing in line waiting for jobs at hospitals? Not in a million years but, that’s what’s happened with California Corrections in just a few months because they’re paying so well.

Here’s yet another example of no real nursing shortage. When I realized that the state prisons in my area were fully staffed and there was a waiting list for those jobs, I also applied for positions at the mental health department because they, at least, had some openings. While those RN’s got some but not all of the court ordered pay raises that the corrections RN’s did … the pay and benefits were still much better than local hospitals in my area.

BUT … when I went to the qualifying exam, I discovered that I was competing with 75 RN’s for eight positions. 75 RN’s! That means there were at least 9 RN’s competing for each position. Could you ever imagine 75 RN’s competing for vacancies at any hospital?

It was even worse at the prisons, where the pay is higher. One of the HR staffers told me that when rare openings do occur, there’s at least 30 RN’s competing for each position. 30 RN’s! It was quite a shock, actually. Usually, I could walk into any private hospital and get a job tomorrow, but definitely NOT in this case because the pay and benefits are so much better.

I think the court ordered pay raises have proven that if you don’t nickel and dime RN’s to death and … when you eliminate a bunch of hospital middle men who line their own pockets at RN’s expense … the nursing shortage, for the most part, disappears.

P.S. I did eventually get hired on by corrections in spite of the waiting list but, I had to jump through a bunch of hoops … including getting some prison nursing experience that apparently helped me stand out from dozens of other competing applicants. I just find it ironic that with the supposed nursing shortage in California, I really had to bend over backwards and work every angle I could to get this job.

:typing

A hospital that expects its tele nurses to deal with 8 or more patients is still going to be short of nurses, regardless of good pay.

True ... in California tele ratios are going to go down to four patients in 2008. Right now it's five. Ratios certainly help: since the law was enacted 40,000 new RN's have become licensed here, mostly from out of state.

Since ratios are mandated by law, money is the driving factor in whether facilities are fully staffed or not. But, it would be interesting to see if that would be the case if ratios weren't mandated.

So I definitely see your point here.

:typing

Specializes in Postpartum, Antepartum, Psych., SDS, OR.
The Institute for Women's Policy Research agrees with the OP. You might find this study on nurses' wages and the supposed shortage interesting.

The site is awsome! What a shame only 18% of the nurses are working under unions as opposed to 18% working with the unions!

Specializes in LTC, Psych, M/S.

I know this is an old thread, but found it as I am researching this topic.

no nursing shortage where I live and all I am looking for is full time job in acute care. the area nursing schools are pumping out the new grads like crazy.....another class just graduated and I am wondering where they are all going to get jobs and I feel kindve sorry for them as most of them are nontraditional students with homes and families - it's not like they can just up and move.

I know that they all think they will get jobs with no problem b/c all you hear about is the nursing shortage. Is this going on anywhere else?

I know this is an old thread, but found it as I am researching this topic.

no nursing shortage where I live and all I am looking for is full time job in acute care. the area nursing schools are pumping out the new grads like crazy.....another class just graduated and I am wondering where they are all going to get jobs and I feel kindve sorry for them as most of them are nontraditional students with homes and families - it's not like they can just up and move.

I know that they all think they will get jobs with no problem b/c all you hear about is the nursing shortage. Is this going on anywhere else?

Yes - I'm in a large metropolitan area, and my school doubled the number of students they accepted this year. So, this really has swelled the ranks of students in my school.

There are also a bunch of accelerated programs in my area for "non-traditional" students.

I wonder though - even with higher pay in areas where there are shortages, don't working conditions also have to change to really attract back existing RN's? Not to mention keep the new grads undergoing "reality shock"!

I don't know if you could pay me a million bucks to work, say, in a busy med/surg unit with upwards of 10 patients to each nurse, and charting for two hours after my shift was supposed to have ended. I just value quality of life too much.

Although I DO agree increasing pay for nurses is needed, yes - especially bedisde nurses.

(Also - just a sidenote - isn't it ironic that the state stepped in to improve care for prisoners? Why can't govt do the same for law-abiding patients?)

Specializes in LTC, Psych, M/S.

In theory it would seem that with the increase in new grads the nurse to pt ratios would be (or could be) lowered, I think that has happened to some degree in the hospital where I work, but then that costs the facility more.....sometimes I wonder if the 'nursing shortage' is an excuse for the hospitals not to hire enough nurses......

However, the hospital in my community is a magnet facility and overall nurses are satisfied with their jobs. I am working on the psych unit part time. I wanted part time last year b/c i had a baby, and that was the only (part time) positition that was open, but I really want to get back into acute care. Right now there are no openings on any of the medsurg floors. It is competitive to get a job there - i know it is a good place to work but the fact there are no openings is surprising. So i am just wondering what the situation is elsewhere and will probably try to relocate to where there is more of a selection of job opportunities.

When the state was figuring out how they were going to pay for all of this, they did a cost analysis and found they were paying a whopping $67 an hour for registry nurses for a total of $90 million a year because they were so short.

So they decided to cut back on registry and pay the staff nurses more instead. Ironically, even with better state benefits, this isn't going to cost the state any more money so ...

I think this proves that hospitals should pay staff more instead of hiring registry/travelers.

:typing

Remember, the $67.00 per hr is what the agency bills for a traveler, not what the traveler makes. Most travelers in higher wage states, such as California, make the same or less than regular staff.

When a facility has a high turnover rate, hiring travelers and agency is often cheaper for them that hiring reg staff- they do not have to pay for new employee orientation, PTO, or bennies.

Many hospitals that use a lot of travelers and agency have to, because they are bad places to work, and no one wants to be reg staff there.

There IS no shortage. Staffing is exactly where management wants it. Why hire more nurses when the numbers on hand will kill themselves to make things work because they're hooked on how heroic it makes them feel? Think of the situations in which you find heroism and you'll realize the only time you have heroes is when things are *****. It stands to reason the only time you have people feeling heroic every day is when things are ***** every day. So it follows the only way you can have things ***** every day is when it produces a level of profit most pleasing to management, otherwise they'd think it was broke and they'd fix it NOW, right or wrong?

Think? Is the national outcry for nurses, propaganda? The more the government and their fellow bed-partners, hospital administrators and physicians. Scream for more nurses, but yet do nothing to encourage the enter into nursing. The justification they have to increase the work-load, because, as long, as nurses accept the unrealistic patient to nurse ratio. The more they will expect (do it once-do it forever). remember, as an experienced nurse leaves the back-door, a lower pating new grad is entering the front. you don't have to be in a union to say this assignment is unacceptable and I will not place my license on the line. This is not insubordination, this is a nurse protecting patient/public safety, which is in our oath of nursing and the safe manner in which one can truly take care of the patient.

There IS a shortage of nurses who are willing and able to work in poor conditions.

If you are the sole income earner, you will, of necessity tolerate very poor working conditions.

If you have an additional income source, or some type of backup you can rely upon (whatever it is) you will have the option of leaving.

There are a lot of very talented nurses out there who are simply fed up.

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