Recession Getting Worse

Nurses General Nursing

Published

We had a meeting this morning about the current state of affairs at our hospital. Our administrator looked pale, bags under his eyes and seemed to have the weight of the world on his shoulders.

He said that our hospital has to find a way to reduce an 18 million dollar debt. No money will be used for traveling expenses, will be a total hiring freeze, existing contracts at all levels, especially ones that are not income generating. Only purchases related to direct patient care will be honored, pending consultation contracts to be abandoned, and even the employees that are attending school to further their educations (say LPN to RN, RN to BSN) may not be able to obtain a position unless they are submitted through the Vacancy Boards...no more automatic placement. and may not even be able to complete their programs. The only positions available for promotion will be from openings based on results of termination due to disciplinary actions. In addition, recently, before this announcement, about three weeks ago, people that were offered jobs...they were told to call these poor people back and tell them that there are no positions available. I know many of them were devastated to count on this during such a bad time to have it revolked like a carpet being pulled from under them. I am sure that the agency people will disappear and the brunt of the work will be placed on us incumbant nurses.

Salary increases are frozen, we have to review how to generate funds due to decreased payment through Medicaid and health insurance. There may be layoffs, but they are desperately trying to prevent that. And then, he said "Merry Christmas". Wonderful...

I am not worried about losing my job per se...I have been there 13 years, but this is painful. I do wonder, however, if I would be bumped back to being a PCA. My seniority from the date of hire does not change...they have to retain our positions to the last position we had if it comes down to it. However, in most cases, in civil service, direct patient care (nurses in particular), are the LAST to go. But I was looking at the faces of the managers, clerks, housekeeping, dietary aides, etc...and wondering if we will all be together within the next few years. Many of the RNs that used to be LPNs are reinstating their LPN licenses in case they have to fight to remain there, or even to search for something else...this is a sad moment for the entire nation.

Specializes in ICU/Critical Care.
What is your rate now and prospective rate on re-fi? Even more importantly the term. Would you be able to cut it down or would it be increased? Its probably not worth if when someone is trying to sell unless lowering it would prevent you from losing it to foreclosure. I'd probably consider doing a re-fi if I could cut the term and rent it out if you really want/need to move. Good luck.

The rates have dropped as low as 4.5. I have a conventional 30 yr mortgage. My current rate is 6.875. I think the prospective rate would be 5%. I'm waiting to hear back from the girl who wrote my mortgage.

Specializes in ER.
Here's my problem though. Does even make any sense to apply for refinancing if I'm trying to sell?

My stepfather has done some financial counseling before (as a career) and he told me that based on the fees and such, its better not to refi your mortgage unless you plan to stay 3-5 years. If I were in your shoes, that's what I would do.

Michigan- It will probably be best not to refi.

Let's say refinancing lowers your payments by $100/month BUT you have to pay closing costs, which are usually 1500-2000 (including appraisal, inspection, points, etc).

SO, even if you CAN save $100/month, it would take you 15-20 months before you seen a return on that.

does that makes sense?

Specializes in ICU/Critical Care.

Yeah it does. Thats what I told my mom. It doesn't make sense to spend the money on closing costs if its just going to bring down my payment 100 bucks and I intend on selling anyways.

Specializes in Family Nurse Practitioner.
Yeah it does. Thats what I told my mom. It doesn't make sense to spend the money on closing costs if its just going to bring down my payment 100 bucks and I intend on selling anyways.

Yes especially if you have already paid a couple of years on your 30 year term and the re-fi puts you back to 30 years. If you can re-fi and cut your term from say 30 years to 15 years that would be something to consider although it probably would not lower your monthly payment. Would lower the amount you owe when you do finally sell though.

Specializes in too many to remember.

Hi all.

I am a RN and my position was "eliminated" last Wednesday. If you think nursing is recession proof....THINK AGAIN!! In regards to the original post, my manager had the exact same look as well. I know its not easy for anyone and I have had a lot of people tell me "sorry". Yeah, I'm sorry too, but sorry doesn't make my mortgage payment and pay for my utilities.

Nobody asked for this to happen and unfortunately there are healthcare entities that are having to make "business decisions" that affect a lot of lives. I really didn't want to have to start over, but I don't have a choice. My faith in God is what is getting me through this (and a phenomenal husband at my side). If you do have a job, fight hard to keep it!

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