Pay increase budgets have fallen by 0.1 percent in 2011, a small decrease from 2.5 percent in 2010 to 2.4 percent this year, according to results from the Compensation Data Healthcare survey.
The drop in pay increase budgets is still less than that seen in 2009 and 2010, when pay increase budgets fell approximately 0.5 percent each year. The survey projects that pay increase budgets are likely to remain relatively stable in 2012 at 2.5 percent.
Approximately 67 percent of healthcare organizations are allocating a portion of their budget towards merit increases, according to the survey. More than 33 percent are making market adjustments to salaries and 15.8 percent are including promotional increases. Only 10.4 percent of survey respondents are utilizing the pay increase budget for increased costs of living.
Hospitals are offering merit increases at a rate of 65.8 percent, while critical access hospitals are reporting them the least at 50 percent, according to the survey.
Read the release on the 2011 Compensation Data Healthcare survey.
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The drop in pay increase budgets is still less than that seen in 2009 and 2010, when pay increase budgets fell approximately 0.5 percent each year. The survey projects that pay increase budgets are likely to remain relatively stable in 2012 at 2.5 percent.
Approximately 67 percent of healthcare organizations are allocating a portion of their budget towards merit increases, according to the survey. More than 33 percent are making market adjustments to salaries and 15.8 percent are including promotional increases. Only 10.4 percent of survey respondents are utilizing the pay increase budget for increased costs of living.
Hospitals are offering merit increases at a rate of 65.8 percent, while critical access hospitals are reporting them the least at 50 percent, according to the survey.
Read the release on the 2011 Compensation Data Healthcare survey.
Related Articles on Healthcare Compensation:
Hospital Employee Compensation Increases 0.5% in First Quarter of 2011
Cardiologists Least Satisfied With Compensation in Survey of 22 Specialties
Survey: Surgeons, Anesthesiologists Hold Highest-Paying Jobs