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Wernothelpless

(410 posts)
Mon Jun 16, 2014, 05:55 PM Jun 2014

Hospital Uses Executive Bonus Money To Give Its Workers A Raise

Source: Think Progress

Parkland Health & Hospital System in Dallas will raise its own minimum wage to $10.25 an hour next month, paying for the increase with money originally devoted to executive bonuses.

The lowest-level employees at the hospital currently make $8.78 an hour, and the increase will give about 230 workers a raise. Those workers were already making more than Texas’s minimum wage, which is the same as the federal $7.25 an hour rate. The move also means that every worker employed by Dallas county, inside and outside the hospital, will make more than $10.25 an hour.

The wage increase will cost the hospital about $350,000 a year. The expense will be covered with money from the upcoming quarter’s bonus pool for the hospital’s 60 vice presidents and top executives. That pool was between $750,000 and $1.2 million in the most recent quarter, and it’s between $3 million and $5 million for the full year.

Dr. Jim Dunn, the hospital’s executive vice president and chief talent officer, told Modern Healthcare that the decision was made in the hopes of improving workers’ morale and to provide a living wage. “We really want, in any way possible, to break down any gaps or anything between the top leaders and those who are closest to our patients,” he said. “We feel like it’s the right thing to do.”

Read more: http://thinkprogress.org/economy/2014/06/16/3449258/hospital-minimum-wage-executive-bonuses/

29 replies = new reply since forum marked as read
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Hospital Uses Executive Bonus Money To Give Its Workers A Raise (Original Post) Wernothelpless Jun 2014 OP
Sounds excellent to me... SoapBox Jun 2014 #1
probably that the employees were originally making $8.75. redruddyred Jun 2014 #2
am I alone in thinking this action not especially commendable... redruddyred Jun 2014 #3
I'm sure that the executives will still be rewarding themselves... SoapBox Jun 2014 #4
7% of their bonus pool ain't exactly generous... elehhhhna Jun 2014 #5
+10. nilram Jun 2014 #16
Good catch newthinking Jun 2014 #20
It's a start ... Wernothelpless Jun 2014 #7
it's sad that, in the walmart economy, common decency is considered "impressive". redruddyred Jun 2014 #8
You're absolutely correct ... Wernothelpless Jun 2014 #9
That's the way it's always been. Nothing new here. Blue collar japple Jun 2014 #11
robert reich and michael moore keep telling me that redruddyred Jun 2014 #29
Finally someone gets it. jwirr Jun 2014 #6
It's barely a start considering the risk of Ilsa Jun 2014 #10
''60 vice presidents and top executives...'' DeSwiss Jun 2014 #12
^^^ this! n/t 4_TN_TITANS Jun 2014 #17
So, if they'd used 15% of the executive bonus budget passiveporcupine Jun 2014 #13
It never ceases to amaze me that the top workers in so many companies SheilaT Jun 2014 #14
This is actually a great idea. I hate when county hospital employees are so McCamy Taylor Jun 2014 #15
This message was self-deleted by its author Phlem Jun 2014 #18
60 vice-presidents? packman Jun 2014 #19
That was my thought, too. 60 executives or middle managers or whatever? Shrike47 Jun 2014 #21
According to them, they do have almost 10,000 employees hughee99 Jun 2014 #25
When I worked there the joke was Parkalnd needed several dozen VPs rainbow4321 Jun 2014 #27
SIXTY VICE PRESIDENTS?????!!!! joanbarnes Jun 2014 #22
Cut the Number of Vice Presidents and Top Executive in Half erpowers Jun 2014 #23
Big whoop. $350K out of 3 to 5 million. Looks like the execs won't be suffering any. valerief Jun 2014 #24
Heh..here is a little of Parkland's history rainbow4321 Jun 2014 #26
good for them nt rpannier Jun 2014 #28
 

redruddyred

(1,615 posts)
3. am I alone in thinking this action not especially commendable...
Mon Jun 16, 2014, 06:13 PM
Jun 2014

just also not especially despicable?

I mean, $10.25 isn't exactly generous. they should have been paying that already.

Wernothelpless

(410 posts)
7. It's a start ...
Mon Jun 16, 2014, 06:32 PM
Jun 2014

I'd have been impressed with $15.00 an hour ...

Hopefully, this will catch on elsewhere ...

 

redruddyred

(1,615 posts)
8. it's sad that, in the walmart economy, common decency is considered "impressive".
Mon Jun 16, 2014, 06:36 PM
Jun 2014

not a personal attack, just venting.

japple

(9,821 posts)
11. That's the way it's always been. Nothing new here. Blue collar
Mon Jun 16, 2014, 07:18 PM
Jun 2014

workers have NEVER been paid anything near to what they're worth. They have had to settle for common decency.

 

redruddyred

(1,615 posts)
29. robert reich and michael moore keep telling me that
Tue Jun 17, 2014, 05:02 PM
Jun 2014

back when there were unions, people could afford to raise a family on a single income.

not that I would know of course. I'm only taking them at their word.

Ilsa

(61,694 posts)
10. It's barely a start considering the risk of
Mon Jun 16, 2014, 07:11 PM
Jun 2014

Working at Parkland. In the words of a former pit boss, Parkland "is a large, mean, dirty hospital" from which a person can receive the most excellent care in the state.

 

DeSwiss

(27,137 posts)
12. ''60 vice presidents and top executives...''
Mon Jun 16, 2014, 07:35 PM
Jun 2014
- I think I've stumbled upon the cause of wage problem.

K&R

passiveporcupine

(8,175 posts)
13. So, if they'd used 15% of the executive bonus budget
Mon Jun 16, 2014, 07:37 PM
Jun 2014

They could have brought their minimum up to what...$12 or $13 an hour at least. Yes it's a start, but a very weak one. It is still better than nothing...but if too many small concessions are made to appease the growing awareness of the public, I fear the anger will stop simmering and boiling over before we achieve "fair" wages.

 

SheilaT

(23,156 posts)
14. It never ceases to amaze me that the top workers in so many companies
Mon Jun 16, 2014, 08:16 PM
Jun 2014

get bonuses and the rank and file don't. The ones who are already making good money get even more, while those just scraping by often get no raises. It's beyond sad.

McCamy Taylor

(19,240 posts)
15. This is actually a great idea. I hate when county hospital employees are so
Mon Jun 16, 2014, 08:29 PM
Jun 2014

poorly paid that they qualify for "free" county medical care. At $10.25 an hour most of the people will still qualify unless they are married, but every little but helps.

I hope they are raising nurse's and MA's salaries too. They make more than $10 an hour---but not enough.

Response to Wernothelpless (Original post)

 

packman

(16,296 posts)
19. 60 vice-presidents?
Mon Jun 16, 2014, 08:53 PM
Jun 2014

WTF - is this normal? Am I naive to believe that there should be one president of an organization and one VP, maybe 2 - but 60?

Shrike47

(6,913 posts)
21. That was my thought, too. 60 executives or middle managers or whatever?
Mon Jun 16, 2014, 08:58 PM
Jun 2014

60 people doing no actual medical work? Hmmmm.

hughee99

(16,113 posts)
25. According to them, they do have almost 10,000 employees
Mon Jun 16, 2014, 10:22 PM
Jun 2014

"Serving Dallas County residents, Parkland Health & Hospital System is one of the largest public hospital systems in the country with 835 operating beds and more than 9,700 employees."

http://www.linkedin.com/company/parkland-hospital

Which I'll admit, was a lot more than I was expecting.

rainbow4321

(9,974 posts)
27. When I worked there the joke was Parkalnd needed several dozen VPs
Tue Jun 17, 2014, 03:24 AM
Jun 2014

Yet the USA needs.... one.

They have level after level after level of execs there and the way that they make these people feel important and get themselves a huge paycheck is to slap the title " VP of (insert department here).


It is a very, very top heavy place. Many of them fled when the Feds came in because Medicare fraud, corruption, patient deaths and injuries. The entire executive office got golden parachutes as they fled.

erpowers

(9,350 posts)
23. Cut the Number of Vice Presidents and Top Executive in Half
Mon Jun 16, 2014, 10:09 PM
Jun 2014

It seems that the leader of this hospital/hospital system should start by cutting the executive staff by 50%. They should then look into cutting it by 50% again. Why is there a need for 60 top executives? I can imagine there are 60 different departments, but can't some of those departments be put under one person. If they cut the executive staff it seems they could cut their prices and pay their employees more.

valerief

(53,235 posts)
24. Big whoop. $350K out of 3 to 5 million. Looks like the execs won't be suffering any.
Mon Jun 16, 2014, 10:18 PM
Jun 2014

Of course, any increase for actual workers is a good thing. I just hope the execs don't break their arms patting themselves on the back for their, ahem, generous offer, especially when you see how well they'll make out.

rainbow4321

(9,974 posts)
26. Heh..here is a little of Parkland's history
Tue Jun 17, 2014, 03:14 AM
Jun 2014

Last edited Tue Jun 17, 2014, 03:58 AM - Edit history (1)

from when I worked there.
In 2009 the upper execs held town halls with employees. They used every excuse in the book about why we were getting at the most 1 to 2 percent raises yet having our monthly insurance premiums raised and having to start being charged for the previous free mass transit passes. Those 2 things alone ate away at that 1 to percent pay increase. They gave sob stories about having to tighten our belts since we were the county hospital. We all left with a "we are all in this together" spirit.

One month later The Dallas Morning News broke the story that ALL of those execs each got hundreds of thousands of dollars in BONUS money. Yes...while they were all giving us sob stories and trying to justify us getting screwed, their bonus money was probably already in their accounts.

Parkland came thisclose to being shut down by the Feds for massive violations in every dept. They are still under the watch of the Feds. All the violations took place while these execs were in charge.
One by one by one, from the CEO on down...those execs were forced to leave after weekly stories broke exposing their misdeeds.

So it took them a loonnggg time to find a new CEO willing to take the job.

Everything they are doing now is PR trying to regain employee and taxpayer's trust.

They lost a lot---a LOT of workers and managers and execs after the Feds came through.
The place needed to be cleaned out, though. Corruption, bullying, intimidation, crappy workers not getting penalized or fired all be because they were buddies with the people above them.

You can Google Parkland and words like investigation, Medicare, corruption..words like that to see all of their history.

They have been fined RECORD amounts by the Feds and state level agencies because of their recent scandals.

Links about exec bonuses

http://www.fiercehealthcare.com/story/dallas-hospital-proposes-54m-executive-incentive-pay/2014-02-12


http://www.dallasnews.com/news/metro/20140210-parkland-memorial-hospital-plans-to-restore-incentive-pay-for-top-executives.ece

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