Managing manpower and cutting costs in the health care industry
Mehmet C Kocakülâh1, Laura M Wiggins, Marvin Albin
1College of Business, University of Southern Indiana, Evansville, Indiana, USA. mkocakul@usi.edu
Abstract:
The Bureau of Labor Statistics projects that health care services will account for one out of every six new jobs from 2002 to 2012. Based upon workload fluctuations, some companies in health care have opted to utilize "just-in-time" employees. Such an employee not only serves to stabilize the workforce but can also reduce employers' cost by allowing them to pay for labor only when they need it. Based on the analysis, a company should reduce reliance on casual staff, as the upfront cost per hire is far greater than hiring a temporary employee. Information presented points to fairly high turnover among casual employees, thus bolstering the argument against this staffing scheme when compared with temporary employee staffing.
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