Houston-Baytown-Sugar Land, TX
Houston-Baytown-Sugar Land, TX
Q4 2011 - Market Summary
The near-term demand for health care workers in the Houston metro area fell slightly during Q4. Of note, was the recognition that more than $1.2 billion in medical construction projects had been put on hold during the past couple years due to federal health care reform uncertainty and the poor economy. Several health systems were noted as delaying development and capital projects in the recent past.
On a comparative basis, the strength of the Houston labor market weakened relative to the rest of the country during Q4. Its Q4 LMPI score of 45.8 was down 2% from the prior quarter and lower than the national composite of 52.9, up 6% from the prior quarter.
Q4 Workforce Announcements
Hospitals hesitate on billions of dollars of construction. November 25, 2011
More than $1.2 billion in medical construction projects have been put on hold in Houston during the last couple of years due to the uncertainty surrounding federal health care reform and the ultimate impact it will have on the industry as a whole. The Methodist Hospital System, The University of Texas M.D. Anderson Cancer Center and St. Luke’s Episcopal Health System have delayed some development projects in the Texas Medical Center. Many other medical-related deals across the city that have never come to light have met the same fate.
“Look at the ones that are known, and multiply by 20,” said Heins. “That’s probably how many private and system projects have been put on hold.”
http://www.bizjournals.com/houston/print-edition/2011/11/25/hospitals-hesitate-on-billions-of.html?page=all
Hospitals and Health Systems
Source: US News & World Report
Education Program Expansions and Closures
No notable education program expansions and closures announced during Q4 2011.
Education Programs
Source: The Integrated Postsecondary Education Data System
Health of the Local Economy
Lower home ownership rates reduce the impact of home price fluctuations and increase the willingness of healthcare employees to relocate for better job opportunities. Below are home ownership rates for the overall Houston-Baytown-Sugar Land, TX market.
Source: www.census.gov accessed 1/1/2012
The recent rising unemployment rates create new demands for health services. Higher unemployment shifts the mix away from higher margin procedures to more primary care in the emergency room and critical care for conditions that should have been treated early at a primary care physician. In general, rising unemployment also reduces turnover and engagement of employed workers, while low unemployment tends to increase intra market churn. Below are unemployment rates for the overall Houston-Baytown-Sugar Land, TX market.
Source: www.bls.gov accessed 1/1/2012
Additional Factors Influencing HWS Labor Market PulseTM Index
- U.S. Census Bureau Population 5,728,143, #6 largest market
- U.S. Census Bureau Population 309th oldest market
- U.S. Census Bureau Population Growth 21.5%, #34 fastest growing market
- Executive Summary
- Atlanta-Sandy Springs-Marietta, GA
- Baltimore-Towson, MD
- Boston-Cambridge-Quincy, MA-NH
- Charlotte-Gastonia-Concord, NC-SC
- Chicago-Naperville-Joliet, IL
- Cleveland-Elyria-Mentor, OH
- Dallas-Fort Worth-Arlington, TX
- Denver-Aurora, CO
- Detroit-Warren-Livonia, MI
- Houston-Baytown-Sugar Land, TX
- Kansas City, MO-KS
- Las Vegas-Paradise, NV
- Los Angeles-Long Beach-Santa Ana, CA
- Miami-Fort Lauderdale-Miami Beach, FL
- Minneapolis-St. Paul-Bloomington, MN-WI
- New York-Northern New Jersey–Long Island, NY
- Orlando-Kissimmee, FL
- Philadelphia-Camden-Wilmington, PA, NJ, DE, MD
- Phoenix-Mesa-Scottsdale, AZ
- Pittsburgh, PA
- Portland-Vancouver-Beaverton, OR-WA
- Riverside-San Bernardino-Ontario, CA
- Sacramento-Arden-Arcade-Roseville, CA
- San Diego-Carlsbad-San Marcos, CA
- San Francisco-Oakland-Fremont, CA
- San Jose-Sunnyvale-Santa Clara, CA
- Seattle-Bellevue-Everett, WA
- St. Louis, MO-IL
- Tampa-St. Petersburg-Clearwater, FL
- Washington-Arlington-Alexandria, DC-VA-MD-WV