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Detroit-Warren-Livonia, MI

Detroit-Warren-Livonia, MI
Q2 2009 - Market Summary

The near-term demand for health care workers in the Detroit metropolitan area improved during the last quarter but remains significantly lower than most other metropolitan areas across the country.

Notable job loss occurred at North Oakland Medical Center, which closed and re-opened as for-profit Doctors Hospital of Michigan. On a positive note, Detroit’s five federally qualified health centers received more than $3 million in federal stimulus dollars to fund much-needed expansion projects that will add new patient examination rooms at Covenent Community Care and create the need for more health care workers.

But on a comparative basis, like the broader Detroit area labor market, the Detroit health care labor market remains one of the weakest in the country with an LMPI score of 25.22 for Q2 2009, compared to the national composite index of 45.02.


Q2 Workforce Announcements

Health centers plan expansions: $3M from D.C. expected; uninsured a target. June 14, 2009
Detroit’s five federally qualified health centers are expecting to receive more than $3 million in
federal stimulus dollars in early July to fund much-needed capital expansion projects to accommodate a growing number of uninsured patients.
http://www.crainsdetroit.com/article/20090614/SUB01/...

Pontiac’s Doctors’ Hospital of Michigan charts new course. June 2, 2009
Oakland County’s oldest hospital, now Doctor’s Hospital of Michigan, is being given a second life as its new owners, operating on a shoestring budget, try to resuscitate a facility that has struggled for years in one of the state’s most distressed markets.  Five hundred of the 700 employees laid off were rehired.
http://www.mlive.com/businessreview/oakland/index.ssf/...

Previous market news


Hospitals and Health Systems

Source: US News & World Report


Education Program Expansion and Closures

No notable education program expansions or closures during Q2 2009.


Education Programs

Source: The Integrated Postsecondary Education Data System


Health of the Local Economy

Declining home prices may cause healthcare employees to seek additional hours from current employers, delay retirement plans and be more willing to relocate for a better job opportunities. Below is the Case-Shiller Home Price Index for the overall Detroit-Warren-Livonia, MI market.

Source: http://www2.standardandpoors.com accessed 7/28/2009

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 Detroit-Warren-Livonia, MI market.

Source: www.census.gov accessed 7/28/2009

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 Detroit-Warren-Livonia, MI market.

Source: www.bls.gov accessed  7/28/2009

Additional Factors Influencing HWS Labor Market PulseTM Index

  • U.S. Census Bureau Population 4,425,110 #11 largest market
  • U.S. Census Bureau Population 167th oldest market
  • U.S. Census Bureau Population Growth -.6%, #318 fastest growing market
   

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