Even during the current financial downturn, the health care industry continues to face a talent crisis. An aging population is increasing the demand for health care services and the need for critial-skill employees. Health care providers have addressed the issues of attracting and retaining critical-skill employees more proactively than general industry, but they still need to improve to meet these challenges.
Watson Wyatt and the American Society for Healthcare Human Resources Administration (ASHHRA) conducted a 2008/2009 study of the health care industry. It reveals that a major challenge for health care organizations is the need to expand their facilities and human capital to meet the increasing demand for their services. Watson Wyatt research shows that an integrated approach to reward and talent management – one that touches all stages of the employment life cycle – is most effective in enhancing an organization’s attraction and retention efforts; however, as with general industry, few health care organizations have implemented an integrated approach.