Why agency pay more?

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Why lots of agency can offer 1/3 more or $15-$20 more than the hospital. Is that actually they take 40-65% from our wage even though they can offer us a very very good due. Is that true? Some agency can even offer benefits like medical and dental insurance. I don't understand why hospital pay almost double amount of money to them instead of hire nurses by themselves.

Agency in Kansas is only paying RNs $16.-$18. per hr.

Excuse my amazement.... Who are YOU working for? I work for Cascade Health Services in Topeka and KC, and I make anywhere from $26-42/hr. Average is about $30. All of the major agencies in the area pay minimum $20+ and really anything below $25 is pretty lousy.

I know there are still a few agencies in Kansas that pay crazy low rates, but I haven't heard ANYONE paying 16-18. That's highway robbery.

Hiya

I think that you(generic not directed to anyone in particular) have to do some research before you go with any agency.. big or small. The rates are going to be different depending on where in the country you are as well as what country you are in.

I'm a US trained born and bred nurse who has been working and living here in Scotland since 1999.

I started working for agency X in Feb this year after doing lots of research both on the net and by talking to folks that had/have worked for different agencies..

The agency i work for is one of the best paying from £17.80 to £44.65 per hour($33 to $80) and largest agencies around. They make no bones about telling you they can't guarantee work.. no agency can. The agency is the best one at filling last minute calls. Their rate includes extra £ per hour for holiday pay.

Policy with this particular agency is if you have been confirmed for a shift and the hospital cancels then you still get paid for 4 hrs so very rarely does that every happen.

There are downsides to agency nursing. when the shifts are there .. the money is great. However there are normal downswings in shifts .. For instance in May I was lucky to get a shift or two a week,when i was available for 5 shifts.Then it goes the other way. week of June 29 i worked 32hrs in four days. If you can't deal with the uncertainty of not getting a shift or have no cash reserves or have not saved any ££ or $$ then perhaps agency nursing is not for you.

Positives or agency nursing are no dealing with hospital and or ward politics.

Variety of different kinds of nursing. Get to set your own days on or off. Can take vacation when/if you want to without having to get it approved first.

Just my opinions on agency nursing. :-)

Kaylesh

Oreo,

This is what I originally posted (slightly edited) under "Nurses in Other Professions" (#79) https://allnurses.com/t47950-10--nur...essions--8.html

The very first way agencies screw their nurses is by putting most of the money into their pocket, not giving it to the nurses. Here is an example: An agency charges the facility say, $65.00 / hr as the basic rate. (The present agency rate is $60- $90 for an RN) Then they add to this other charges like specialty positions such as acting as charge nurse, night shift, mileage, lodging, etc. They pay the nurses any where from $23 to $25 / hr. and put the rest in their pockets.

The company I was working for said that if you worked as charge that I would get paid more, HA HA HA. That never happened. My contract said that I would work 36 hrs. a week. I later found out that the agency's contract with the hospital said that the agency was guaranteed to be paid for a 40 hr week. So they got paid for 40 hrs whether I worked 40 or not.

Over head was very low for this agency since it was being run out of their home. I found out that on average, they had 10 - 12 nurses employed at any given time. Another agency was charging the hospital $90.00 / hr and paying the RN $20.00 - $23.00.

Pay checks were supposed to be mailed out on Fridays. Another joke !!!!! You never knew when you would get your check. The excuses were unlimited on why they couldn't be mailed out on time. Also the fax in their office some how always seemed to be down when you tried to fax time cards in, or if it worked, then they would misplace your time card sheet and not find it until after checks had been cut for the week. If you e-mailed time cards in, they would accidentally delete them, saying they thought it was spam, even though it had "time card" in the subject area. Good way to keep from paying their help on time.

I took a short notice shifts, 450 miles away, after being promised extra money for taking it. When paychecks came out, they never remembered making such an agreement. They then agreed that to keep me happy, it would be on the next check; that day never came, so I wouldn't take any more of their short notice shifts.

Before contracting on, I was told that they had a health insurance plan. After hiring on, I was told that they were just setting it up. Took 4 months to get my AAA sent in after my asking every week about it. I, nor anyone else ever did get health insurance.

If you had a complaint or needed to talk to them, you could never could get through to the agency when you called. I have no doubt that they had caller I.D. So I would leave a message and 3 - 4- or maybe a week later, they would call back.

While I was told that I would be paid time and a half for holidays, that never happened either. I later found out that the agency did charge the hospital time and a half for the holidays I worked.

Before hiring on, I was told that I would get $250.00 for any referrals that hired on. They hired three of my referrals but I never got a dime. One of the referrals that worked for them had requested that it be written in her contract that she had 4 - 5 days in a row off every 3 weeks so she could come home to see her daughter, etc. They had her working 400 miles away. Some amazing way, they didn't get that written in the contract. When she questioned about it not being in her contract with them, they told her that they had written it in the contract with the hospital. What a crock of bull, when it didn't happen she checked with the hospital and found out that it wasn't written into their contract with the agency. She kept asking for an assignment closer to home, and kept being told that there wasn't anything closer to home for her. Of course, not, when they could get bigger bucks ( since where she was working was staffed primarily by agency) there then what they could get by working her closer to home. When she told them that she was going to go to another agency, they suddenly found her something closer to home.

Have also found out since I quit, that the agency got paid bonuses for my work and it wasn't passed on to me like the agency said it would be. Lined their pocket again off my work.

I have checked with other agencies around the area. I have talked to others who are more familiar with some of the other agency. After comparing note, the bottom line is same crap different company. Some want a 1 year contract, others want you to only work for them. Agencies never worry after you sign up with them if certifications are kept up to date, etc. They don't worry about the HIPPA ruling or offer HIPPA information. They just leave the nurse out to hang if they aren't current.

One of the worse things about the agency was their constant pushing of overtime. They always wanted us to work over time because while they would have to pay time and a half on my pay of $23.00 hourly rate, they charged the facility time and a half on their $65.00 hourly rate. Obviously they love to push overtime. My husband is a independent businessman. Based upon what they were charging the facilities, and what they were paying the nurses, he calculated the taxes, extra phone line, etc. He figured that this small home office agency was clearing somewhere between $35,000 and $45,000 per month. Even with all the overtime and shift differential, I have never ever even made $40,000 in a single years - much less a month. About a month ago I ran across the lady that was working in the office of this agency during my contract. I point blank asked her what they were making each month. Between $40,000 and $50,00 per month depending on the number of nurses in a given week was her reply. She then commented on how even that was not enough to maintain them in the life style they were living.

Agencies are just like facilities and the health industry. They are in it for money and more money. They have no interest in health care what-so-ever. That is why I decided enough was enough and went independent. Now I have control of what happens, not somebody lining their pocket off my hard work. I can work out of my home just as well as any agency. When I hire other nurses to cover shifts, I can pay them real money for the efforts.

Look at it this way. An agency charges say $65.00 an hour. If the agency has 12 nurses work an average of 8 hours five days a week that comes to 480 of pay time per week. Now figure that they have to pay say 15% (this is way above Wyoming actual rate) in taxes such as unemployment, workman's comp, FICA, etc. That means that they are paying approximately $10 per hour in taxes. So if the agency is paying a nurse $23.00, that means that they are clearing approximately $32.00 per hour. Assuming a overhead of $10 per hour (again way over anything reasonable in Wyoming) their actual profit is only $23.00; but multiply that by 480 hours per week. That comes to more than ten grand a WEEK - More than $40,000 per month. To me that is as outrageous as the facilities. When I work another nurse, I only keep out a couple dollars an hour to cover overhead and make a small profit.

Bottom line - I got tired of the vultures sucking the blood out of me so I went independent. I charge the facility $55-$60 per hour and actually put the money in MY pocket - and the facility is saving money. To heck with the vultures.

If you do work for an agency, get what ever they tell you in writing before you sign your name.

Hey,

I am thinking of traveling,,,can you email me privately the company that you spoke about so I can steer clear from this. [email protected]

Specializes in ER, ICU.
Originally Posted by WyomingRN

The very first way agencies screw their nurses is by putting most of the money into their pocket, not giving it to the nurses.

The company I was working for said that if you worked as charge that I would get paid more, HA HA HA.

Pay checks were supposed to be mailed out on Fridays. Another joke !!!!!

I took a short notice shifts, 450 miles away, after being promised extra money for taking it. When paychecks came out, they never remembered making such an agreement.

Before contracting on, I was told that they had a health insurance plan.

If you had a complaint or needed to talk to them, you could never could get through to the agency when you called.

While I was told that I would be paid time and a half for holidays, that never happened either.

Before hiring on, I was told that I would get $250.00 for any referrals that hired on. They hired three of my referrals but I never got a dime.

Have also found out since I quit, that the agency got paid bonuses for my work

I have checked with other agencies around the area. . . the bottom line is same crap different company.

Agencies are just like facilities and the health industry. They are in it for money and more money.

Look at it this way. An agency charges say $65.00 an hour.

Bottom line - I got tired of the vultures sucking the blood out of me so I went independent. I charge the facility $55-$60 per hour and actually put the money in MY pocket - and the facility is saving money. To heck with the vultures.

If you do work for an agency, get what ever they tell you in writing before you sign your name.

While I believe that WyomingRN's experiences and opinions are real and heartfelt, I believe that the facts are just too far off to be considered the "norm"

Above I have highlighted the first sentences from a long list of complaints posted. If any one agency iss THAT bad - LEAVE! FAST! Shame on you if you stick with it.

As soon as you see those bad patterns developed - move on! There are MANY, MANY, MANY fine agencies out there.

-Michael

Twenty five years ago you could get a job with an agency as a GN. Remember,back then the nursing exams for the state boards were pencil and paper and only given several times a year and over a two day period. Now you can go in and take NCLEX right away and find out your score right away.

WyomingRN, I did not attemt to distort, I just interpreted what you said about contractors. And I was referring only to nursing not any other service industry. I am sorry that you had such a bad time with agencies, but in twenty five years I never have had one problem. Perhaps it was due to a difference in where I was living and where you are living, and the particular agencies that are available to you. Because you had bad service or problems, does not mean that happens to everyone else. Sorry if you took things the wrong way.

I have to agree, some agencies are awfull, but the minute I find that out, I'm gone. Other agencies can have branches in different cities, and the quality is different each place.

Personally I've worked both Agency and as a Travaler. I travaled with Humana and loved it. When I started working agency, I checked a companies rep. before I joined. If it proved to be a wrong match I left. That is the good thing about working this way. Its your reputation on the line and you don't want to ruin it by working for any one who isn't honest.

I know some agencies are pits, but why stay there. If you have a contract, when its over you can be gone. I've done this since 1987. The only time I left an agency was when they got angry that I called State Board to question what they were telling us about the wonders of being independant contractors with them.

I've worked in in 4 different states and found these guides to work every place.

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