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 Texass 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 quarters bonus pool for the hospitals 60 vice presidents and top executives. That pool was between $750,000 and $1.2 million in the most recent quarter, and its between $3 million and $5 million for the full year.
Dr. Jim Dunn, the hospitals 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 its the right thing to do.
Read more: http://thinkprogress.org/economy/2014/06/16/3449258/hospital-minimum-wage-executive-bonuses/
SoapBox
(18,791 posts)Is there a catch?
redruddyred
(1,615 posts)that's walmart wages.
redruddyred
(1,615 posts)just also not especially despicable?
I mean, $10.25 isn't exactly generous. they should have been paying that already.
SoapBox
(18,791 posts)handsomely.
elehhhhna
(32,076 posts)5MM / 60 people = 83K per top exec. annually.
Yeah, knock yourselves out, guys.
newthinking
(3,982 posts)Wernothelpless
(410 posts)I'd have been impressed with $15.00 an hour ...
Hopefully, this will catch on elsewhere ...
redruddyred
(1,615 posts)not a personal attack, just venting.
Wernothelpless
(410 posts)Seattle gets it, but few others are really paying attention ...
japple
(9,821 posts)workers have NEVER been paid anything near to what they're worth. They have had to settle for common decency.
redruddyred
(1,615 posts)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.
jwirr
(39,215 posts)Ilsa
(61,694 posts)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)K&R
4_TN_TITANS
(2,977 posts)passiveporcupine
(8,175 posts)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)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)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)
Phlem This message was self-deleted by its author.
packman
(16,296 posts)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)60 people doing no actual medical work? Hmmmm.
hughee99
(16,113 posts)"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)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.
joanbarnes
(1,722 posts)erpowers
(9,350 posts)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)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)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