By Stephen Tweed
In the last 45 days, we have observed a dramatic slow down in caregiver recruiting in home care. The leading companies in the industry are reporting major challenges finding caregivers. What’s happening? Why isn’t anyone applying to my job ads?
Our analysis of what’s going on helped us see “The Perfect Storm” of recruiting.
- Workers just received their IRS Tax refund check.
- Workers just received their Covid Stimulus Checks.
- The Federal add on to unemployment means workers are receiving up to $15.50 per hour to stay home
- Childcare is still a major problem for in-home caregivers who have children
As we dug into this issue further, we discovered some very interesting data that explains why former caregivers and potential caregivers are staying home.
- The average tax refund for a person earning $20,000 per year was $2,971.79.
- A single mother with two children received $4,200 from the Covid Stimulus program.
So this potential caregiver has $7.171.79 in cash that recently came in. That’s one third of a year’s earnings. Then she or he gets somewhere around $13.00 per hour in unemployment. One of our Mastermind Members in Arizona calculated that her potential caregivers are getting $13.10 per hour in unemployment if they worked 40 hours, and she’s offering $13.50. She can’t get someone to come to work for an additional $.30 per hour.
While there is no short term solution to this perfect storm, members of our Caregiver Quality Mastermind Group are digging into solutions. This storm, too, shall pass, and the sun will come out. However, until that happens every home care company needs to figure out how to be competitive in the caregiver recruiting marketplace.
To be part of a mastermind group sharing ideals, solving problems, and supporting one another in caregiver recruiting and retention, visit https://www.caregiverquality.com/