proactive compensation: getting out from behind the eight ball gshhra conference june 12, 2014
TRANSCRIPT
Proactive Compensation: Getting Out From Behind The Eight
Ball
GSHHRA Conference June 12, 2014
Introduction
•About Compdata Surveys & Consulting
•Compdata's Experience in Healthcare
•Getting Proactive
•Utilizing Survey Results to Support Goals
Compdata Surveys &Compdata Consulting
Mission: Offer Quality Data & Services at Sensible Prices
More than 25 Years Partnering with Associations
Nationally, more than 50,000 participants every year• 10 Industry Surveys and Executive & Benefits Products
•Banking & Finance•BenchmarkPro•Colleges & Universities•Healthcare•Hospitality
•Insurance•Manufacturing & Distribution•Not-For-Profit•Physician Compensation•Utilities
Healthcare Experience
Since 1988, we have partnered with associations nationwide. We currently partner with nine hospital associations, including:
• Arkansas Hospital Association – New in 2014!• Georgia Hospital Association/GSHHRA• Kansas Hospital Association• Kentucky Hospital Association• Missouri Hospital Association• Nebraska Hospital Association• Oklahoma Hospital Association – New in 2014!• South Dakota Association of Health Care Organizations• Tennessee Hospital Association/TSHHRA
Healthcare Compensation SurveysBy The Numbers*
Compdata Surveys 13,408 participants
MGMA 3,811 participantsSullivan Cotter 1,390 participantsMercer 1,313 participantsHay Group 1,212 participantsTowers Watson 372 participantsHRadvantage (Gallagher) 200 participants
*According to website posts as of May 2014.
About the Survey
The Healthcare Compensation & Benefits survey was designed by healthcare professionals for healthcare professionals.
The survey includes pay practices and benefits information, along with pay data for 300 job titles. Specifically, participants receive:
• Pay data by type of facility, FTEs, revenue, geography, profit statusand number of beds
• Average base rates, weighted averages, percentiles, pay rangesand hire-on rates
• Per diem, PRN, shift differentials, on-call and call back pay• Average pay rates and hire-on rates for Staff Nurse by years of
experience• Pay practice questions including pay increase budgets• Benefits data including paid time off, health insurance,
retirement plans and more
Compensation ConsultingWhere Data Meets Design
We partner with healthcare clients from coast to coast on total rewards projects large & small:
•System-wide compenstion and benefits projects
•Performance Management Programs
•Physician and Executive compensation reviews
•Wide variety of total reward departmental studies: • RN projects, IT studies, career ladder development,
etc.
Getting Proactive
Put me in my place!
IT Compensation ReviewLessons Learned
•Can be difficult for those not in high tech industry to compete for IT labor
•Sometimes limit our pool of candidates by requiring IT experience in healthcare setting
•Look for ways to make position attractive• Compensation may be one piece• Developing Career Ladders has been successful• Consider technical career progression vs. moving into
supervisory or management role
RN PayObservations
•RN is core position and typically comprises 20 – 25% of the total workforce
•Complex market realities and complex pay programs
•Solid compensation philosophy/strategy is needed• Agree upon comparators by size,
geography, etc.• Perspectives on this can vary
RN PayLessons Learned
•Pay for Performance vs. Years of Experience• Blend of both is best so top performers are
rewarded and retained (individual contributions recognized)
• Turnover will exist – decide on acceptable levels
•Internal analysis of current pay levels and years of experience tends to be enlightening•Examine compensation practices outside of base pay such as: PRN, On Call, Shift Differentials, In-House Agency Rates, Float Pools, BSN Rates and Overtime
What Is Your Labor Market?
Four Perspectives to Consider
1. Staff's concept of the labor market2. HR's observations3. Leadership's idea of your competition4. The actual labor market
Staff's Concept
"I can go work over there. They pay $$$$!"
HR's Observations
•HR sees where new hires are coming from.• Applications and resumes show work
history.
•HR knows about voluntary turnover.• Employees often tell you where they are
going and why they are making the move.
Leadership's Idea
Leadership does not always recognize competition for labor can be different than competition for business.
•"We don't compete with Atlanta. It's an hour away."
•"We're smaller than ____. They are not competition."
•"We have better benefits and a better culture. That's enough to compete with ____."
Your Actual Labor Market
All four perspectives may be right!It will be HR's job to manage the discussion.
