Nursing Wages Rise, Shortage Continues

Last updated Saturday, March 17, 2007 7:26 PM CDT in Business

By John L. Moore
The Morning News

    "We're hiring. Come on in," said Steve Percival.

    Percival, director of human resources at Washington Regional Medical System, and his counterparts at other hospitals have a tough job trying to keep their hospitals fully staffed with nurses.

    Without enough nurses, hospitals sometimes temporarily close beds. With hospitals in Northwest Arkansas operating at or near capacity much of the time, a shortage of nurses can be felt quickly.

    The health care industry has bemoaned the nursing shortage for more than a decade, warning that as the Baby Boom generations age, more nurses will be required for the additional patients.

    The U.S. Bureau of Labor Statistics projected in 2005 more than 3.1 million registered nurse jobs would be available by 2014. That would add more than 700,000 new jobs for nurses. The only industry projected to add more jobs to the economy in the next several years will be retail sales.

    If other projections from the American Hospital Association hold true, the country could have a shortfall of 600,000 nurses by 2020, said Mike Meeks, senior vice president for Northwest Health System.

    MORE OPTIONS

    Traditionally the laws of supply and demand would seem to apply. The demand for nurses would drive wages up, and more people would train to fill those higher paying jobs. But despite wage gains, the nursing shortage continues, said Paul Cunningham, senior vice president of the Arkansas Hospital Association.

    "We're in the process of conducting a tracking survey of the vacancy rate in our hospitals, and we can definitely see there is going to be a shortage," he said.

    In Northwest Arkansas, the average hourly wage for a registered nurse rose from $17.27 per hour in 2001 to $23.20 per hour in 2006, a 34 percent increase, Cunningham said.

    However, the nursing shortage persists.

    Claudia Williams, chief nursing officer at Washington Regional, said nurses have more career options now.

    "Used to, nurses went to the hospitals to work, now there are so many more opportunities outside of the hospital," Williams said.

    Managed care organizations, insurance companies, doctor's offices, nursing homes, diagnostic laboratories, pharmaceutical companies and medical software companies all take their share of nurses, Williams said.

    The average salary of a registered nurse in Oakland, Calif., is $80,270 per year, according to a 2007 Minority Nurse magazine article.

    "My experience is that you can offer all the money in the world, but if the work experience is not a positive one, then it's not going to matter," said Michele Stewart, vice president of patient care and chief nursing officer of Mercy Health System of Northwest Arkansas in Rogers.

    WORK LOAD ISSUES

    Hospitals are having to think about more than just money in getting new nurses and retaining the ones they have, said hospital officials.

    The salaries have gone up for nurses, but so have the work loads in recent years, Stewart said. There's more paperwork and patients are typically sicker now when they are in the hospital. Because outpatient services and specialty clinics have changed the system, only the most ill patients are in the hospital and they spend less time there, Stewart said.

    "It's a very difficult job and we have to continually think about what we can do to make their job as easy as we can," she said.

    Stewart said flexible work schedules and teaching opportunities within the hospital for more experienced nurses are some ways to help retain more nurses.

    Stewart said the hospital has incentive plans that are based on professional development for the nurses. The best way to keep people is to create a great work atmosphere and provide them with ample opportunities to develop professionally, she said.

    Mike Meeks, vice president of human resources for Northwest Health System, said hospitals now accommodate a wide variety of work schedules to help retain experienced nurses and attract new ones. Younger nurses coming into the field have a different lifestyle and set of expectations, he said. Some more experienced nurses who have been in the business a long time area also finding opportunities in training incoming nurses in the hospital and may not want to work 12 hours shifts now.

    "If you want to work a certain shift, we've probably got it. We offer 6, 8, 10 or 12 hours shifts - whatever it takes," he said.

    None of the hospitals would discuss the details of incentive plans they offer, given the competitive nature of hiring nurses in Northwest Arkansas.

    Incentive and bonus plans are a part of that, but work schedules and flexibility are another, Percival said.

    Newly minted nursing graduates used to expect to come work night-shifts at the hospital for a few years after they got out of school, Percival said.

    They have so many choices, they don't have to do that now," he said.

    TRAINING SHORTAGE

    But everyone agrees that more nurses have to be trained.

    Even with the pay increases there is a bottleneck in getting a larger supply of nurses into the health care system, Cunningham said.

    "If you had to pick one major problem, at least in my opinion, it would be the lack of qualified nursing faculty for the nursing schools throughout the state," he said. "Regardless of the number of students wanting to enter nursing, there won't be enough faculty to teach them. The students won't be able to get in, because the schools won't be able to teach all of them."

    Cunningham said many faculty members of nursing programs are approaching 50 and beyond and are thinking about retirement in the next five to eight years.

    Nursing schools at both NorthWest Arkansas Community College and the University of Arkansas have expanded their programs in recent years, but recruiting nursing faculty can be a challenge, officials for both schools said.

    The community college offers a two-year registered nurse program, said Monte Gagliardi, dean of health professions at NorthWest Arkansas Community College. Recently the school introduced an accelerated program that takes about 15 months to complete. A $1.9 million grant through the U.S. Department of Labor initially funded the program.

    "We're now taking in about 70 students per year, where we were typically having 35 to 40 students in a year," he said.

    Gagliardi said the problem with recruiting faculty is more difficult for a four-year program such as UA's.

    "One of the things we're trying to do at our school is to bring on some part-time and clinical instructors with bachelor's degree," he said. "They have great experience, and we're trying to bring them in and mentor them and encourage them to go back and get the advanced degrees."

    One of the difficulties in recruiting nurses into the teaching field is pay, he said.

    Nurses with advanced degrees can often make more money working in a hospital than they can teaching he said.

    But college administrators can't simply raise those nurse educator salaries to meet the salaries in a clinical setting.

    "There has to be some equity for all faculty in the different disciplines," he said. "It's a tough nut for administrators."

    The University of Arkansas has had an open position for a nurse educator with a doctorate degree for more than two years, said Tom Kippenbrock, director of nursing for the Eleanor Mann School of Nursing at the university.

    But the school has significantly expanded the number of graduates in the past few years he said.

    In 2003, the school graduated 24 nurses from it's four year registered nurse program. This year, the school expects to graduate 110 students, he said.

    Even with that increase, though, the school still has to turn down fully-qualified students each year.

    "In the fall we had 130 applicants for 50 positions," he said. "The lowest grade point average we have is a 3.4."

    IMPORTING HELP

    Kippenbrock said there is a renewed interest in the field of nursing over the past decade.

    "Our students are very aware of the salaries, and they know that with their jobs, they can go anywhere in the country and work," He said.

    Many hospitals also offer some kind of education reimbursement or loan payoff for new nurses who sign on with the hospital, he said.

    Even if schools in Arkansas could somehow manage to turn out the 1,925 nurses a year -- according to a 2001 Legislative Commission on Nursing -- the state needs, the hospitals couldn't absorb that many new nurses, Percival said.

    Hospitals have to take in a mix of newly trained and experienced nurses. A nurse coming out of school will typically need six months to a year of orientation in the hospital environment depending on their specialty, Percival said.

    All the area health systems have recruiting programs to recruit nurses from other states, but most states have shortages as well.

    Washington Regional also has brought in some nurses from the Philippines, Percival said.

    "Back in the fall of 2004, we hired 25 nurses from the Philippines. We got five of them over before the country ran out of visa numbers to allow workers into the United States," Percival said.

    Percival said the hospital hopes to bring the rest of the nurses it hired in the next 18 months.

    Percival said hospitals in the area have to look at the whole picture. Salaries, incentives, professional development, recruiting and retention all play a part. But answering the nursing shortage in the nation, or even statewide, is a tough task and there's "no magic answer that's going to fix the problem," he said.

    Registered Nurses Hourly Wage

    Year Arkansas % Change Northwest Arkansas % Change Little Rock %Change

    2006 $22.65 9.2 $23.20 1.6 $24.70 5

    2005 $20.73 22.9 $22.83 32.2 $23.52 31.3

    2001 $16.87 NA $17.27 NA $17.92 NA

    By The Numbers:

    $48,256: Annual salary for a registered nurse in Northwest Arkansas in 2006

    1925: Number of new nurses needed each year in Arkansas

    703,000: Projected number of new jobs added for registered nurses between 2004 and 2014

    Reader Comments (18 comment(s))


    The following comments are provided by readers and are the sole responsibility of their authors. The Morning News does not review comments before their publication, nor do we guarantee their accuracy. By publishing a comment here you agree to abide by our comment policy. If you see a comment that violates our policy, please notify the web editor.

    Cindy wrote on Mar 20, 2007 11:18 AM:

    " I have to almost laugh at the concern with no available faculty to train/educate new nurses in the northwest arkansa area. No one mentioned that in Decmeber of 2006 the nursing school with the best passage rates on boards, the most highly sought after students (due to low orientation time) had to close due to lack of funding. Har-Ber School of Nursing (formerly Baptist School of Nursing Northwest) was a wonderful school, that prior to closure had 16 highly-trained faculty that had to seek other employement after closure. Many of the faculty had to move out of the area or even state... I was one of the faculty members. Prior to closure we had increased our student admission numbers to 75 a year plus a LPN to RN fast track that had the capacity to take 15 to 20 LPN's. It is ashame that with this dire shortage, the school could not be saved. I worry about the public and their needs. It could have been less of a worry with one more school. "

    Anonymous Nurse wrote on Mar 20, 2007 2:53 PM:

    " Har-ber's closure was a positive and necessary action to help propel Arkansas forward to meet national standards in nursing. The above reader failed to mention that Har-ber was a "diploma" program. In other words, their nurses graduated with NO college degree. Diploma programs are few and far between on a national level, as most have been eliminated over the years. Arkansas made the right move in closing a school which limits the future potential of its graduates. With the closure, Arkanas will now graduate only degreed nurses, thus, paving the road to more qualified, educated nurses, who will ultimately be able to further their education and attain post-graduate degrees. "

    Cindy wrote on Mar 20, 2007 10:38 PM:

    " If the national standards of nursing is to have to close beds due to lack of staffing then that meets the response to the comments. I am not sure what "national standards" that Arkansas does not meet and would welcome specific, factual, and researchable data to support the "opinion". I was a diploma nurse and have not had ANY difficulty completing a masters degree and working on a doctoral degree in nursing. I do not know what limitiations the respondant speaks of be think that this falacy is more harmful than factual. What is most important is that an RN is an RN whether you graduated from a degree program or dipolam program. It is interesting that the passage rates of the BSN program is varying and significantly low (state board of nursing has the facts). If we are going to propel the healthcare forward in the NWA area then it needs to be with better NCLEX passage rates than 70 percent. Additionally, BSN prepared nurses are "management" foucused. What is the best fit is a bedside nurse that has the skills to be efficient, safe and effective. I would rather have someone that has the skills. Cost effective nurses are those that are willing to work in the hospital setting. This is not a nurse eat nurse world and the response to my comments creates this feeling. We need to support nursing not destroy it. "

    It takes a special person wrote on Mar 21, 2007 3:02 AM:

    " My appriciation goes out to all nurses in Arkansas. It takes a special person to be a nurse. It is ashame they can't keep staffed. I don't know alot about nursing but I think your best nurse is going to come from the love they have for the job. I hope to see programs that allow everyone to be able to pursue their dream in Arkansas, I don't think it would matter if they had their classes in a shed if they really wanted to be a nurse I believe they would excel no matter where they attended classes. I don't know anything about this but it seems like if their is a state or national standard, everyone is going to have to pass the same test to move on. "

    It takes a special person wrote on Mar 21, 2007 3:04 AM:

    " My appriciation goes out to all nurses in Arkansas. It takes a special person to be a nurse. It is ashame they can't keep staffed. I don't know alot about nursing but I think your best nurse is going to come from the love they have for the job. I hope to see programs that allow everyone to be able to pursue their dream in Arkansas, I don't think it would matter if they had their classes in a shed if they really wanted to be a nurse I believe they would excel no matter where they attended classes. I don't know anything about this but it seems like if there is a state or national standard, everyone is going to have to pass the same test to move on. "

    Cind wrote on Mar 21, 2007 9:12 PM:

    " Thank you for your support of nursing. It is sad that nurses cannot support each other. I agree that the best nurses are those that love their job and I truly love nursing. (Enough to go to bat for it here and where ever is needed). Nursing is a life-style not just a job. I enjoy it and love to learn as well. "

    Nurse who cares...... wrote on Mar 22, 2007 12:03 AM:

    " The anonymous Nurse above must be threatened, diploma nurse always have and always will be some of the best nurses around. Initials behind your name, besides RN does not necessarily indicate a good nurse. It just means they had the money to go to college. In fact I found after 40 years degreed nurse didn't have have the skills necessary to start a job and that hasn't changed in 40 years. I do not believe there is a nurse shortage, just a shortage of nurses who are adequately paid for the emotional and physical stress,and work load. the endless lack of meal times, overtime and downtime with out feeling you've forgotten something. Nurses livihood is put on the line every second they are at work. Talk about stress! "

    NEC wrote on Mar 22, 2007 9:58 AM:

    " Take a look at www.nwansged.org "

    Cindy wrote on Mar 22, 2007 10:02 AM:

    " Yes there is a lot of stress in nursing and I believe that this makes each of us stronger. One of the biggest, unnecessary stressors that nurses have today acutally has a name. It is called "Horizontal Violence". It was given this name because of the methods in which nurses relieve their stress.. Usually upon other nurses. Nurses do not "dump" on their patients, they typically do not "dump" on the physicians, so the people that get the brunt of the reactions are other nurses. We need to help each other. How many times have you heard "it is not my patient"? or have seen a call light not being answered because it was "another nurses room"? If we supported each other more completely, came together and forgot whether you are a Diploma, ADN, BSN, or other type of nurse, we could do wonders as as GROUP. This is the best way to propel the standards of nursing and the professional status to the forefront and encourage people to step up and stay in nursing. If the trained, qualified experienced nurses would stay in the hospital and clinical fields, the shortage of staff would not be an issue. Lets find a way to support the CURRENT nursing staff better. "

    Anonymous Foreign Nurse wrote on Mar 22, 2007 1:50 PM:

    " As a foreign(West European) nurse-miwife with no American nursing licence I read numerous articles about the US nursing shortage the last 7 years I am here. I myself would LOVE to work as a nurse-midwife here in US. However, my 9 years of nursing colleges and master degree means nothing here and I need to start from scratch I am very willing to do tests but not do start all over again.. How can you faciliate this kind of situation? What is the solution for foreign licenced nurses to come here and work in a 'quicker' way ? Rememeber there is a big nursing shortage .. I do not have good experiences with going to present myself at hospitals : they simply do not want to work with you as long as you do not have the RN licence Why don't they try to help you with this so you can work in this hospital ? "

    To Anonymous Foreign Nurse wrote on Mar 22, 2007 6:06 PM:

    " Start with the NEC: www.nwansged.org "

    Puri wrote on Apr 1, 2007 7:35 PM:

    " In my country (Philippines)there are many qualified nurses wanting to work in US.We already have the necessary requirements such as : passing NCLEX-RN and IELTS exam and of course clinical experiences. However,we cannot go to US because of the retrogression issue.. maybe US government should address this problem if they truly want to resolve the nursing shortage issue in your country... "

    Rodin wrote on Apr 2, 2007 7:58 PM:

    " I'm a 4th year BSN student in the Philippines studying at Our Lady of Fatima University. It's really sad when sick people can't get necessary health care because of this acute shortage. It would surely be a win-win situation for both of us if your government could speedily address this retrogression issue-someone whose heart is really for the Nursing profession, a champion who can effectively address this, a new Florence Nightingale, perhaps? "

    Rentalnurse wrote on Apr 15, 2007 2:53 AM:

    " "In Northwest Arkansas, the average hourly wage for a registered nurse rose from $17.27 per hour in 2001 to $23.20 per hour in 2006, a 34 percent increase, Cunningham said." And we wonder why there is a shortage, who can make ends meet with that kind of pay.. Thats why i do local travel or agency, the cost of living in NW AR has tripled and pay in all areas has not kept up. I was making $21 an hr 8 yrs ago with agency in AR, and can wk in tulsa for $36 +.. I love nursing and have been at it for 15 yrs. when I graduated in '92 there was a glut of nurses and I couldnt find a job, how times have changed.Also as a male I have seen a major influx of men into the profession. Definately higher pay more respect and lower nurse to pt ratio would help. To my fellow nurses support one another, help each other out, we can only keep the new ones if we set a good example.See you in the trenches :) "

    IndianaNurse wrote on Apr 15, 2007 12:05 PM:

    " As far as nursing shortage, I do not believe there is a nursing shortage either. Look at the state board of nursing web sites for your state, look at the nurses who are "inactive" or have let their license go. The nurses are out there, but the current work environment/stress/politics ie: administration/pt.ratios/low pay/poor benefits/no incentives/etc. etc. run nurses off to other occupations. I have only been an RN for 4 yrs. and am sick of all of it myself. I love nursing, but I'm just not sure it's worth it to me anymore. So, IF there really is a shortage in our country, I think that is why!! My name will more than likely be added to the "inactive" list here soon as well. "

    sashakoko@yahoo.com wrote on Apr 15, 2007 1:58 PM:

    " Nursing wages rise, but shortage continues: “However, the nursing shortage persists.”???????????????????? This nursing shortage has been in effect for a very long time, and it will remain so unless the experts address the major issues. Number 1 issue is expressed by Michele Stewart below, and that is the overwhelming work load, often times a patient safety work load, that educated nurses today will not accept at any price. Number 2 issue is this smarter younger generation of nurses is therefore attracted to the other career opportunities mentioned below by Claudia Williams. Ask these nurses why they choose these other opportunities outside the hospital environment, and learn the truth. Number 3, unless number 1 issue is addressed, and resolved, nurses will continue to bypass the current hospital impossible work load environment and work at the other career opportunities to their benefit of body, heart, mind and soul. It is advisable to have people like Michele Stewart (who pinpointed the major number one issue above) on the committee. What has been tried to date is not working. I am an experienced RN. BS. Nurse, and the past and current stress of the hospital impossible work load environment has been off my career for a long time. Life is for healthy living . Sincerely, Catherine Burns "

    foriegn nurse wrote on Apr 26, 2007 7:42 PM:

    " I think the hospital administrators should start putting pressure on congress to stop the retrogression. I have a petition pending and waiting to relocate to help solve the problem. "

    lynntou2003 wrote on Nov 4, 2007 10:59 AM:

    " I have read the article and it is sad to me that the shortages of nurses is so abundant. The Attorney General put a new law into affect about 4 years ago, that simply kicked out a lot of nurses. I have taken care of both my grandparents and loved working in the nursing homes. However, when I was 19, I took a friend to the store, well to make a long story short. She had stolen a wallet from a man that she dated and me, her and another person were found guility of theft.Almost 15 years later, this has not allowed me to work in a nursing faculty. Nursing was my passion, I honestly loved doing that more than anything in the world and was emotionally distressed when I was told that I could no longer work. I have never stolen anything and I'm 35 years old now and I feel as if something I was called to do is no longer a dream or possibility. I know that we have to be careful of whom we let take care of our society. Abuse charges, I could see not hiring that person or repeated charges but for the people in this world who made mistakes in their youth, should not have to carry that with them for the rest of their lives. When our class begin we had over 20 nurses aides in less than 2 months most were already gone and they were good nurses and soamI. "


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