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As a nationally renowned expert in nursing workforce issues, Joanne Spetz, PhD, associate director of the Center for California Health Workforce Studies, has a bird's eye view of compensation for nurses.
"Nursing salaries have risen in the 2000s, after stagnating in the 1990s," said Spetz. "This has been a much-needed improvement, reflecting the increasing responsibilities of nurses and recognition of their importance to patient care."
Nationally, the numbers bear this out - despite the economic downturn - according to ADVANCE's annual salary survey of nurses, which showed 2008 salaries to be up from those of 2007. The average annual salary for a nurse in 2007 was in the high $50,000 range; in 2008 the average salary range was $60,000-$64,999.
The salary survey was available online August-September 2008; 4,553 nurses completed the survey.
In the coming years, Spetz believes the rise in salaries will slow somewhat as the nursing shortage gradually improves.
"Stabilization of nursing salaries will be good for the workforce overall, because it will enable employers to foster opportunities for nurses rather than devoting all their resources to filling severe nursing shortfalls," she pointed out. "Nurses with specialized skills, particularly skills needed to care for our aging population, are likely to enjoy greater salary growth than entry-level nurses."
ADVANCE's survey results indicate that will be the case.
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The survey asked respondents whether they had specialty certification in their area of practice.
In salaries up to $59,999, we saw more respondents who did not have specialty certification.
In the $60,000-$64,999 salary range, the numbers were almost even. More than 60 percent of nurses with higher salaries ($65,000-$120,000+) reported they do have certification in a specialty.
Positions Along the Curve
In many regions of the country, salaries continue to rise.
Joan Kuhn, director of human resources at Partners Home Care, Partners Hospice and Partners Private Care, Waltham, MA, noted, "Nursing salaries in eastern Massachusetts continue to increase as the pressure for the limited pool of RNs remains unchanged."
At Trident Medical Center, Charleston, SC, Vickie Cummings, director of human resources, sees a similar situation. "Over the next several years, we see the nursing salaries increasing based on the critical need for RNs in the area," she said.
At New York Hospital Queens, where nurses are part of a collective bargaining agreement, salaries have increased about 11 percent over the past 10 years. "Once a year they receive a contractual increase as well as an experience increase," said Laurie Cariglio, recruitment manager for patient care services. "With that said, the salaries will only continue to increase."
Other HR experts, however, have already seen a flattening of the salary curve. "The trend in the Philadelphia region is that the nursing shortage for most hospitals is slowing down," said Christine Tierney, MSN, RN, SPHR, employment and compensation director at Abington Memorial Hospital, Abington, PA.
"This year, there was a glut of new graduates looking for positions. Also, with the state of the economy and its rising gas prices, mortgage defaults and downsizing hitting families hard, many nurses are choosing to work longer than previously anticipated," Tierney said. "As a result, I expect nursing salaries to remain flat."
Nursing Shortage Varies
Barbara Summers, PhD, RN, vice president and chief nursing officer at The University of Texas M.D. Anderson Cancer Center, Houston, finds nursing to be more recession-proof than other fields.
"Despite the recent higher unemployment trends nationwide, healthcare and nursing positions remain very competitive and will continue to become even more so in the future," she said. "The U.S. Department of Health and Human Services predicts Texas will have a nursing deficit of nearly 42,000 full-time nurses by 2010."
At Reno, NV-based Renown Health, Michelle Sanchez Bickley, senior director of human resources, agreed, adding, "The National Bureau of Labor Statistics is still indicating a healthcare shortage of workers through 2020. We have openings in many areas of nursing and specifically a strong need within the critical care areas. The economy is also difficult right now as candidates from other areas may not be able to sell their homes and relocate here."
Noting that California continues to lead the U.S. in the lowest number of nurses per 100,000 people, Betty L. Dobbs, MHA, RN, nursing workforce development specialist at the Schneider Institute for Nursing, Little Company of Mary Service Area, Torrance, CA, concluded, "Salaries for nurses have continued to rise for the past several years as the demand for nurses continues to exceed the supply."
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