Table of Contents

Press + to list detailed section contents

Executive Summary

Q2 HWS Labor Market Pulse® Index

LMPI Composite Index (historical)

SELECT MARKET HIGHLIGHTS
July 2011

HWS is pleased to announce the release of Q2 2011 results for the HWS Labor Market Pulse® Index (LMPI). The HWS LMPI is a leading indicator of local health care labor market demand as it is derived from announced expansion and contraction plans, among other data. The Index measures where near-term demand for health care workers is strongest based on a number of tracking variables including temporary health workforce shortages and surpluses, facility and bed closures, announced layoffs and expansions, and local economic trends.

2011 Second Quarter LMPI Highlights

• Mirroring the broader economy, the strength of the national health care labor market remained stagnant across a number of major metropolitan areas in the second quarter as measured by the HWS Labor Market Pulse Index® (LMPI), a leading indicator of near term demand.

• For the second quarter of 2011, the near-term demand for health care workers was strongest in the Phoenix, Seattle and Las Vegas metropolitan areas.

• Of the 30 major markets tracked by the HWS Labor Market Pulse Index® (LMPI), the weakest areas for the quarter included the Atlanta, Cleveland and Minneapolis metropolitan areas.

• The LMPI composite index, a representative basket of the 30 largest markets, posted a 3% decline in the second quarter of 2011 from the 1st quarter, after a 4% increase from the prior quarter (Q4 2010).

• For the 2nd quarter ended 6/30/11, 9 markets of the 30 tracked by the LMPI showed signs of accelerated expansion (vs. 18 in the prior quarter).

2011 Select Market First Quarter Highlights

Atlanta
The near term demand for health care workers in the Atlanta metropolitan area slipped during the second quarter of 2011 after remaining relatively strong for many of the previous quarters. Of note during the quarter, were job losses announced Grady Memorial and Piedmont Healthcare. A total of 585 jobs were eliminated between the two systems due to higher ER volumes and lower reimbursement.

Baltimore
Despite new growth announcements, the near-term demand for health care workers in the Baltimore metropolitan area slowed during the second quarter of 2011, after a particularly strong first quarter. Of note, St. Agnes’s completed new hospital tower, coming in under budget, and St. Agnes’s announcement expanding its Baltimore campus due to growing cancer and cardiovascular programs.

Boston
The near term demand for health care workers in the Boston metropolitan area slowed slightly during the second quarter as the state department of Public Health announced 50 job cuts and hospitals noted overall cost pressures tightening budgets at local hospitals. However, South Shore Hospital did announce a 60-bed expansion resuming this summer after being delayed by the slow economy.

Charlotte
After healthy growth during Q1, the Charlotte health care labor market weakened somewhat during Q2. Of note, MedCath Corp. reported increased losses for its second quarter and announced the sale of two hospitals for $192 million, Carolinas HealthCare System opened a specialty care clinic in Gastonia and announced plans to build a $24.5 million mental health facility in Huntersville, and CMC-NorthEast announced a new timetable for building a $264.4 million bed tower on its Concord campus that had been delayed for two years amidst the economic downturn.

Chicago
The near term demand for health care workers in the Chicago metropolitan area remained flat for the second quarter of 2011. Of note during the quarter, it was announced that up to 1,100 Cook County health workers are facing layoffs, including the closure of Oak Forest Hospital.

Cleveland
The near term demand for health care workers in the Cleveland metropolitan area slipped during the second quarter of 2011 after remaining relatively stable over the past several quarters. Of note during the quarter, Cleveland Clinic’s Huron Hospital was forced to close due amidst financial difficulties. Its 850 employees are being recruited to nearby facilities.

Dallas
The near-term demand for health care workers in the Dallas-Fort Worth metro area held steady during the second quarter. Of note, the University of Texas Southwestern Medical Center started preconstruction work on an $800 million, 460-bed hospital that will create as many as 1,000 jobs when it opens in early 2015. Also of note, emergency services firm Emerus Hospital Partners LLC announced plans to add six to eight ER-style clinics in North Texas, bringing about 300 jobs and more than $60 million in investment to the region.

Denver
The near-term demand for health care workers in the Denver metro area remained unchanged during Q2 during a relatively quiet quarter. Of note, St. Anthony Central Hospital moved its campus in Lakewood.

Detroit
The near-term demand for health care workers in the Detroit metro area weakened slightly during Q2. Of note, Both Beaumont and Henry Ford Health Systems announced their first raises since 2008. Also, Vanguard announced it will soon begin to spend some of the $850 million it promised for 20 projects including a new tower at DMC’s Children’s Hospital of Michigan.

Houston
The near-term demand for health care workers in the Houston metropolitan area held firm during the second quarter despite a glut of new graduate nursing professionals in the area. Of note during the quarter, Victory Healthcare Holdings LLP announced plans to re-open a vacant hospital facility near the Texas Medical Center as Victory Medical Center Houston. The hospital is comprised of 20 private inpatient rooms, two semiprivate inpatient rooms, six operating rooms, eight preoperative bays, 12 post-operative recovery beds and two special procedure rooms. Also of note, Texas Emergency Care Center will be opening a free-standing emergency room in Atascocita this summer, and Medistar Corp. is partnering with Surgical Development Partners to build the 248-bed Bay Area Regional Medical Center in Webster.
Kansas City
The near-term demand for health care workers in the Kansas City metro area remained relatively flat during Q2 despite much activity. Of note, Centerpoint Medical Center announced plans to add two operating rooms, North Kansas City Hospital announced plans for a $16 million expansion of its ED, St. Luke’s East is set to begin a $68 million expansion project that will add 182,000sf and more than 100 beds, and Overland Park Medical Center has finalized plans for a $121 million expansion that includes a 72-private-bed tower and a larger, renovated emergency department.

Las Vegas
The near-term demand for health care workers in the Las Vegas metropolitan area improved considerably during the second quarter despite 160 layoffs at the Nevada Cancer Institute. On a positive note, Union Village in Henderson unveiled plans for a $1.5 billion health and retail campus that will be anchored by a hospital and senior retirement community.

Los Angeles
The near-term demand for health care workers in the Los Angeles metro area continued to improve during the second quarter. Of note, Children’s Hospital of Los Angeles cut the ribbon on the Marion and John E. Anderson Pavilion, a seven-story, 460,000 square-foot hospital building that will provide 317 additional pediatric care beds, including 120 beds dedicated to intensive care.

Miami
After a healthy quarter in Q1, the near-term demand for health care workers in the Miami metro area fell notably during Q2 despite a lack of meaningful news. On a comparative basis the strength of the Miami health care labor market, as measure by its Q2 LMPI score, dropped 29% to 45.8, slightly lower than the national composite of 49.9, down 3% from the prior quarter.

Minneapolis
The near-term demand for health care workers in the Twin Cities fell during Q2. Of note, Fairview Health announced headcount reductions of 240 although only 70 were considered layoffs.

New York City
The near-term demand for health care workers in the New York metro area remained flat during Q2. In a relatively quiet quarter, Staten Island Hospital announced that it was considering furloughs and possible layoffs in the face of a potential $6 million budget shortfall.

Orlando
The near-term demand for health care workers in the Orlando metropolitan area dropped off notably during the second quarter. Of note, the Florida Senate’s 2011 proposed budget could cut $1.8 billion from hospitals statewide, including $182.5 million from three Central Florida hospitals, which could delay up to $600 million in planned local hospital construction projects. In other news Florida Hospital’s $90 million at Celebration Hospital was expected to result in 50 new jobs by summer.

Philadelphia
The near-term demand for health care workers in the Tri-state area slipped during Q2. Of note during the quarter, DE-based Christiana Care Health System announced plans for an ambulatory-care center in Western Delaware County and the Rutgers Board of Governors approved the creation of a comprehensive Rutgers School of Nursing at its Camden campus.

Phoenix
The near-term demand for health care workers in the Phoenix metro area rebounded notably during Q2. Of particular note, Abrazo Health announced plans to hire nearly 500 people to help support its growth, Phoenix Children’s plans to fill 200 positions this year, Scottsdale Healthcare plans to hire 2,000 people to replace retirees and others leaving the hospital (it has already hired 1,000 this year), and Banner Health, the state’s largest health system, plans to fill 1,100 jobs by the end of this year.

Pittsburgh
The near-term demand for health care workers in the Pittsburgh metropolitan area remained flat during Q2 with relatively little news. On a comparative basis, the strength of the market remained relatively unchanged from the prior quarter as measured by a Q2 LMPI score of 45.8 vs. 45.7 the prior quarter and just under the national composite of 49.9.

Portland
The near-term demand for health care workers in the Portland metro area fell during Q2 despite no notable labor market news. Its Q2 LMPI score of 45.8 was down 14% from the prior quarter and fell below the national composite of 49.9.

Riverside
The near-term demand for health care workers in the Riverside-San Bernardino-Ontario area slipped slightly during the second quarter. Of note, St. Bernardine Medical Center announced plans to close its pediatric unit although staff will be transferred to Community Hospital and other St. Bernardine departments. Also of note during the quarter: Temecula officials and city residents broke ground on Temecula Valley Hospital, the city’s first hospital, a new five-story, 140-bed Universal Health Services facility, and Moreno Valley announced forward with a plan to create a medical campus on a 200-acre property near the Riverside County Regional Medical Center.

Sacramento
The near-term demand for health workers in the Sacramento area held steady during Q2. Of note during the quarter, Mercy Hospital of Folsom began moving patients into its $15 million progressive-care unit, the second phase of a long-range plan to meet the needs of the region’s growing population. The unit adds 21 inpatient beds, bringing the total to 106. Also, Sutter Health announced plans to close Sutter Auburn Faith Hospital’s birthing center and instead provide inpatient labor and delivery care at Sutter Roseville Medical Center.

San Diego
The near-term demand for health care workers in San Diego strengthened during the second quarter. Of note during the quarter, Scripps announced that its $456 million Scripps Cardiovascular Institute facility will combine the cardiology programs at Scripps Memorial Hospital La Jolla, Scripps Clinic/Scripps Green Hospital and Kaiser Permanente. The seven-story building — which is slated for completion in 2015 — will feature 108 private patient rooms, 60 intensive care rooms and six catheterization labs.

San Francisco Bay
The near-term demand for health care workers in the San Francisco Bay metro area continued to strengthen during the second quarter. Of particular note during the quarter, John Muir Health opened a new $612 million inpatient tower at its Walnut Creek medical center and Seton Medical Center announced the loss of 104 jobs, an addition to the 79 it shed last year.

San Jose
The near-term demand for health care workers in the San Jose metro area continued to improve during the second quarter. Of note, Stanford Hospital & Clinics and Lucile Packard Children’s Hospital plan to expand the hospitals by 1.3 million square feet that would add 144 new beds at Stanford and 104 new beds at Lucile Packard. Other local expansion projects already underway include those at Camino Hospital, Regional Medical Center of San Jose, Good Samaritan Hospital, Community Hospital of Los Gatos, and O’Connor Hospital.

Seattle
The near-term demand for health care workers in the Seattle metro area rebounded during the second quarter. Of note during the quarter were expansion announcements from Providence Regional Medical Center, which plans to erect a new medical tower on its Everett Colby Campus, and from Swedish, which plans to open a new medical office building in Issaquah and follow with a new hospital there in November, which will add several hundred new jobs.

St. Louis
After a strong first quarter, the near-term demand for health care workers in the St. Louis metro area fell back to where it has been for much of the last year during Q2. Of note during the quarter, Kenneth Hall and St. Alexius closed emergency rooms reflecting a national trend. RehabCare also announced plans to lay off 140.

Tampa Bay
The near-term demand for health care workers in the Tampa St. Petersburg metro area continued to weaken during Q2. Of note during the quarter, the Florida Agency for Healthcare Administration recently awarded a three-year contract to eQHealth to conduct management services for the state’s $18 billion Medicaid program expected to lead to 135 new positions.

Washington D.C.
The near-term demand for health care workers in the Washington D.C. metro area remained relatively flat during the second quarter despite an announcement by Washington Hospital that it would cut 200 jobs by July 1. Also of note during the quarter, Prince William Health announced plans to spend $97 million on renovation and expansion of its Manassas campus.

   

NEED HELP LOGGING IN?

Forgotten password? Reset
More help? Please contact us.