Compensation Issues

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Saint Francis Healthcare boosting minimum wage in July

Cape Girardeau, Mo.-based Saint Francis Healthcare System revealed it will give raises to more than 200 employees, or nearly 8 percent of its workforce, effective July 8.

The system said the raises are from increasing the minimum hourly pay to $11.70 "to ensure all employees have the opportunity to earn a livable wage."

Some Saint Francis employees now are paid $8.55 per hour, spokesperson Tyler Graef told the Southeast Missourian. This is above the state's minimum wage of $7.85 per hour.

Saint Francis President and CEO Maryann Reese, RN, DHA, attributed the wage increase to the system's mission and values rather than the external market.

"This decision goes to the core of our principles as a Catholic healthcare system," she said. "As we continue our efforts to lower costs and make the healthcare system more efficient and functional for patients, we cannot risk overlooking our own colleagues in the process. Doing the right thing includes making sure we care for all members of the Saint Francis family."

Bishop Edward Rice, head of the Diocese of Springfield-Cape Girardeau, praised the decision, saying the changes "show respect for the dignity of our workers. It affirms their value and will promote the well-being of families."

The new hourly rate is double the amount a person would need to stay above the federal poverty rate, according to a Saint Francis news release.

Dr. Reese told the Southeast Missourian the increase overall will cost about $300,000, "but we have mitigated it [expenses] in other areas, decreasing our costs and being cognizant of our processes."

 

More articles on compensation: 
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ACP urges hospitals to commit to equal pay for female physicians
Allegheny Health Network will boost minimum wage to $15 in 3 years

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