PRESS RELEASE | SullivanCotter Releases Annual Workforce Metrics Benchmark Survey Results

PRESS RELEASE | SullivanCotter Releases Annual Workforce Metrics Benchmark Survey Results

SullivanCotter Releases Annual Workforce Metrics Benchmark Survey Results and Offers Insight Into Health Care Workforce Structure

Chicago, IL | December 08, 2021 01:26 PM Eastern Standard Time

SullivanCotter, the nation’s leading independent consulting firm in the assessment and development of total rewards programs, workforce solutions, and technology and data products for the healthcare industry and not-for-profit sector, recently released results from its 2021 Workforce Metrics Benchmark Survey. The survey contains benchmark data on 10 staff level job families, including Ancillary Services, Care Management, Emergency Medical Services, Facilities Services, Financial Services, Human Resources, Information Technology, Legal and Compliance Services, Nursing, and Technical Medical Support. “Insights from this survey will arm health care organizations with essential information on how the composition and cost of their workforce compares to the market,” said James Roth, Managing Principal, SullivanCotter. “Healthcare organizations face unprecedented pressure as disruptions in patient volume, reductions in employer-sponsored insurance, labor shortages and rising expenses all remain key challenges. As these organizations look for better ways to optimize care delivery and improve performance, effectively managing the size, shape and architecture of the workforce is critical. By gaining an understanding of how your organization compares to industry benchmarks, you can better support operational restructuring decisions that help manage labor expenses, recognize acquisition-related cost saving opportunities, identify retirement risks, and uncover gaps in meeting your diversity objectives,” said Roth. Increased Attention on Workforce Architecture Understanding the drivers of workforce cost requires a multi-dimensional analysis that must take into consideration the interaction between three factors – the overall size of the workforce, the distribution of the workforce across career levels and the job level pay position relative to your target market. “The tension between responding to a compressed labor market and rising labor costs, and managing profitability battered by shifts in payor mix driven by the pandemic, has cast focus on the efficiency and effectiveness of the current workforce structure,” said Cathy Loose, Managing Principal, SullivanCotter. Thoughtfully defined career stages and job levels are the foundations for building a workforce architecture. SullivanCotter’s 2021 survey data indicates that almost one-quarter of titled managers do not have any staff accountability, which suggests that clarifying job definitions is a critical step many organizations miss. Then, carefully considering the desired workforce distribution within each functional area is a key pivot point that can inform the level of managerial span of control needed, define the overall size of the workforce, and influence the affordability and effectiveness of different pay philosophies. Boardroom Focus on Demographics is Accelerating There are few topics getting more attention from health care organization boards today than diversity and inclusion. Objectively, there are documented and researched benefits to expanding the representational diversity in the workforce. “In today’s constricted labor market, many organizations are focused on diversity as defined by race and gender, yet they are also revisiting legacy job requirements that may be limiting the diversity of experience, thought and skill in the candidate pool,” said Nanci Hibschman, Managing Principal, SullivanCotter. SullivanCotter’s data reveals that almost one-quarter of the active healthcare workforce will reach retirement age eligibility in the next ten years. While this will create a significant challenge in terms of accelerating the pace of staff replacement, the industry has a strong foundation of diversity to build upon with over three-quarters of the workforce being female and almost one-third ethnic minorities as indicated by SullivanCotter’s data. Healthcare organizations have a unique opportunity to lead change and influence the profile of the workforce of the future. Giving fair consideration to candidates with diverse backgrounds, experiences, knowledge, skills and abilities gives the organization the opportunity to discover new workforce combinations that may change how jobs are defined, how teams work together and how value gets created. Considerations for 2022 and Beyond As hospitals and health systems plan for what lies ahead and look to support financial sustainability and mitigate risk, organizations should consider market practices as well as their individual financial circumstances and structural definitions when determining their compensation and workforce-related actions. To support more sophisticated benchmarking and customized workforce design, SullivanCotter has developed a robust statistical analysis which integrates our extensive workforce demographic and structure data with our financial, performance and quality data. This enhanced methodology produces client-specific predictive modeling of workforce size, distribution and cost customized by job family to support large-scale workforce planning and analysis. “SullivanCotter’s 2021 Workforce Metrics Benchmark Survey reflects data collected using a rolling database model through 2020 and 2021. Due to the continued impact of the pandemic and the extremely dynamic environment, the survey data should be used thoughtfully, with appropriate context, and with sound business judgement as you plan and consider workforce management initiatives in 2022 and beyond,” said Roth. For more information on SullivanCotter’s 2021 Health Care Workforce Metrics Benchmark Survey or any other SullivanCotter surveys, please visit our website at www.sullivancotdev.wpenginepowered.com, email us or contact us by phone at 888.739.7039.   About SullivanCotter SullivanCotter partners with healthcare and other not-for-profit organizations to understand what drives performance and improve outcomes through the development and implementation of integrated workforce strategies. Using our time-tested methodologies and industry-leading research and information, we provide data-driven insights, expertise, data and technology products to help organizations align business strategy and performance objectives – enabling our clients to deliver on their mission, vision and values.

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