Dimensions Healthcare System (DHS) recognizes that competitive compensation is important for recruiting, retaining and motivating the employees needed to fulfill its mission.
The Service Employees International Union (SEIU), however, has asked for a dramatic wage increase as part of a three-year contract. It has proposed a 2.75% wage increase each year. An 8.25% wage increase over a three-year period is a multi-million dollar request at a time when DHS is attempting to regain its financial stability and when hospitals throughout the Mid-Atlantic region have frozen wages or are laying off employees.
Under SEIU’s wage proposal, the cost for DHS to hire a new Registered Nurse (RN) would increase by more than 8.25%. It would actually inflate the current base salary of a new RN making $25.79 per hour to a new base of $27.98 per hour. Dimensions Healthcare System understands its employees’ desire for increased wages. In this economic climate, an 8.25% wage increase over a three-year period is not realistic.
DHS must continue to be a good steward of its limited financial resources. DHS has countered the union’s wage proposal with a 2% increase for each year of a three-year contract, meaning that nurses would receive a 6% increase in addition to their steps and service and maintenance workers would receive a 6% increase overall.