Are Travelers and OT the Answer?
May 14, 2009
Recently I stumbled across a June 2007 article by Greta Sherman from TMP Worldwide titled, “Brave Enough to Know the Facts.” Greta goes into detail on the true cost of bringing temporary, or Per Diem, nurses to work for your organization. She found that if you were able to shorten the time to hire on one full time RN by ten days, it would save the company and average of $26,232. Shorten the time to hire by ten days for ten RN’s and you will have an additional 262,320 to the bottom line.
In today’s market where recruiting budgets are being slashed, HR departments are asked to do more with less and the term controllable costs are top of mind, why are all of these Healthcare organizations still turning to temporary staff?
Wouldn’t it just make more sense to hire on two or three full time employees and reallocate the money to employee retention, sign on bonuses or employee referral programs? (Sherman found keeping 2 RN’s for one year longer would save $132.032 in agency fees)
In a year where 50% of public hospitals are in the red* and every dollar is being scrutinized, how is this still happening? The only real answer is “this is the way we have always done it” and in today’s market that is not good enough.
Ford and Chrysler didn’t change with the times and look where they are at today? Many other industries are taking the recession as a time to re-evaluate every aspect of their business and become more efficient. I hope recruiting Healthcare professionals do the same.
- Categories: Employee Engagement, Employee Retention
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