OHCA 2018 Report

2018 Oregon Long Term Care State Report www.ohca.com 11 Wage Data: Comparisons, 2017 20 Workforce, Staffing, and Economic Impact Workforce issues are among the biggest challenges facing long term care service providers. Rising labor and benefits costs are a concern, and the legislatively-mandated multi-year increases in Oregon’s minimum wage have had a major impact in driving labor costs. Yet, the challenges facing Oregon’s long term care workforce go far beyond labor costs. Oregon’s low unemployment rate, which has remained at near record low levels, is also a challenge. Providers in rural and frontier Oregon face particularly acute challenges. As rural and frontier populations age faster than populations living in urban and suburban areas of the state, the shortage of skilled workers to fill caregiving roles in these communities will continue to grow. Today, there are over 51,000 paid direct caregivers working in Oregon. The need for caregivers is projected to grow substantially in the years ahead as Oregon’s population grows older. By the year 2024, the number of personal care workers will grow by 29%, while home health aides will grow by 33%. 17 Most strikingly, the number of registered nurses working in long term care settings will need to grow by as much as 50% by 2025. 18 As a result of increases in the minimum wage, the wage gap between caregivers and food service workers and other similar jobs is shrinking, making it harder to find qualified workers in the long term care sector. While other industries are more easily able to adapt to increasing wages, by increasing their prices and other strategies, the long term care sector, funded mostly by Medicaid, is less able to adapt. Wages of Personal Care Aides in Oregon $11.69 MEDIAN $12.07 MEAN $25,110 ANNUAL Wages of Food Service Workers in Oregon $11.46 MEDIAN $12.65 MEAN $26,310 ANNUAL Direct Caregiver Workers PERSONAL CARE WORKERS 19,330 HOME HEALTH AIDES 5,900 INDEPENDENT PROVIDERS 11,220 NURSING ASSISTANTS 12,480 REGISTERED NURSES 2,690 19 TOTAL 51,620 Source: Paraprofessional Health Institute (2018) and Oregon Center for Nursing (2016). The Demand for Nursing Professionals in Oregon.