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Union activity in hospitals: past, present, and future
Health Care Financing Review
|May 11, 1982
Summary
Hospital unionization surged from 1970-1980, impacting wages but not significantly driving overall hospital cost inflation. Projections indicated continued growth in collective bargaining agreements.
Area of Science:
- Health Economics
- Labor Relations
- Healthcare Management
Background:
- Hospital collective bargaining agreements saw a significant rise between 1970 and 1980.
- Unionization extent varied by hospital ownership, bed size, and location.
Purpose of the Study:
- To analyze trends in hospital unionization during the 1970s.
- To examine the impact of union growth on hospital wages and overall healthcare spending.
Main Methods:
- Analysis of hospital collective bargaining contract data from 1970-1980.
- Statistical examination of factors influencing employee organization.
Main Results:
- Hospital unionization increased from 15.7% to 27.4% between 1970 and 1980.
- Unions increased Registered Nurse (RN) wages by ~6% and nonprofessional employee wages by ~10%.
- Union growth contributed less than 10% to real hospital spending increases in the 1970s.
Conclusions:
- Hospital union activity grew substantially in the 1970s, influenced by state rate-setting regulations.
- While unions positively impacted hospital employee wages, they were not a primary driver of overall hospital cost inflation.
- Projected continued growth, with 45-50% of hospitals expected to have unions by 1990.