HEALTHCARE SALARY SURVEY MARCH 2010

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1 HEALTHCARE SALARY SURVEY MARCH 21

2 Contents Introduction 2 An Overview of the Respondents to the Salary Survey 3 Nursing Home Managers 6 Residential Home Managers 7 Staff Nurses (including RGN, RMN and RNLD) 8 Deputy Home Managers (including Residential and Nursing Homes) 9 New Categories Added for the 21 Survey 1 Domiciliary Care Managers 11 Regional Area Managers 12 Operations Directors 13 Other Directors 14 Owner/Proprietors 15 Qualifications Versus Salary Levels 16 3

3 Introduction Welcome to the findings from Sammons Healthcare s second Salary Survey. The information described has been collected in collaboration with the publication Caring Business. Our inaugural salary survey last year aimed to provide you with clear, concise information relating to the salary scales and benefits of Healthcare Staff. The feedback we received on the survey s publication was extremely positive, and in discussion with our clients they highlighted further information that they would have liked to have access to. This year s survey therefore includes further job categories and also a review of whether qualifications affect an employee s remuneration. And, perhaps most importantly, we are able to give you a commentary on the changes that have occurred in the last 12 months you will see 29 figures alongside those for this year, so you can compare the information year on year. We hope this information will allow you to make informed decisions about your recruitment strategy, such as whether you are paying market rate, or whether you may wish to increase salaries for certain positions if they are business critical. Sammons Commentary on the Salary Survey Results: The most common benefits were 25 days holiday, and this was also the most desired benefit by all the staff. Second place for the most common benefit was fought out between training support and flexible working, and was dependent upon the category of staff canvassed as to where the priority was placed Last year 3.8% rated their package as very poor, this has dropped to just 3% Nursing Home Managers in general seemed pleased with their current packages, with those in the Midlands receiving the highest pay; last year it was the Southern Counties with the larger remuneration packages Residential Home Managers again seemed pleased with their current packages, with those in the South East achieving the highest pay RGNs are again in short supply across the whole of the UK, but this survey highlights that there is great disparity in pay between those employed in Wales and the Midlands compared to their better paid counterparts in the South East. Last year the worst paid region was the North and the highest paid was actually the South West but the number of respondents from these areas has been considerably less this year so it is not possible to make direct comparisons year on year for these areas. Of the nurses, 9% said they rated their current package very poorly, compared to % giving that rating last year. Perhaps there have been pay freezes or smaller increments in salary due to the recession? Regional Area Managers seem the most disgruntled with their current packages with 12.5% rating their remuneration as very poor Owner/Proprietors is a new category this year and it is obvious from the findings that the ability to have flexible working has been a leading factor in choosing to work for themselves, although some owners are working 7 plus hours per week Last year we commented on the fact that the shortage of qualified staff was having a big effect on this sector. Very little has changed this year. In fact, only 18% of the respondents felt this sector has been affected by the recession. Some workers had been compelled to work full time to support their families as their partners had lost their jobs, but in a staff short market they would have had no issue increasing their hours. Low occupancy and lack of funding were other highlighted issues, but a resounding 82% of the respondents felt that this sector was certainly recession proof. The level of vacancies we at Sammons Healthcare have received instruction on from clients this year has been virtually the same with 243 received in 29 and 246 in 28. 4

4 An Overview of the Respondents to the Salary Survey The type of worker We were pleased to see such a variety of people chose to take part in the salary survey as figure 1 shows below. Some 25% found that their job titles were not covered by the options available in the survey and we therefore had responses from HR Managers, Training Coordinators, and Commissioning Specialists as well as very specific roles such as Fire & Asbestos Manager. Their viewpoints will hopefully give a more rounded view of salaries within the care sector. Fig. 1 Respondents to the salary survey What is your job title? Staffnurse (RGN, RMN, RNLD) Deputy Nursing Home Manager Deputy Residential Home Manager Nursing Home Manager Nurse / Clinical Nurse Manager Residential Home Manager Domiciliary Care Manager Operations Director Regional/Area Manager Other Director Care Home Owner/Proprietor Chief Executive Fig. 2 Respondents by Percentage Job Title Respondent Percentage Nurse / Clinical Nurse Manager.5% Deputy Nursing Home Manager 2.3% Chief Executive 3.3% Deputy Residential Home Manager 3.7% Domiciliary Care Manager 5.6% Operations Director 6.1% Regional/Area Manager 7.5% Staff Nurse (RGN, RMN, RNLD) 7.9% Care Home Owner/Proprietor 8.4% Other Director 15.9% Nursing Home Manager 18.2% Residential Home Manager 2.6% Other (please specify) 25.2% 5

5 Full or Part Time Workers Of the respondents 92.4% are within full time employment, whilst the remaining percentage of 7.6 workers are employed on a part time basis Are you employed full time or part time? Part time 8% Full time 92% Fig. 3 Full time and part time employment Work / Life Balance These same workers were asked to rate their work life balance. Just 18% said that they thought their work/life balance was rated poor or very poor, leaving 82% believing that their work life balance was more than acceptable to them, 18 % of which rated their work life balance as very good. How would you rate your work/life balance? Poor 15% Very Poor 3% Very Good 15% Ok 34% Good 33% Fig. 4 Work Life Balance 6

6 Where were they based? Diagram 5 shows the geographic spread of respondents and highlights that Northern Ireland is the only area not represented by this survey. Where are you based? Yorkshire & North East Scotland 7% 1% Northern Ireland % North West 7% South East 31% East Anglia 9% Midlands 29% Wales 3% South West 13% South East West Sussex) South West (Berkshire, Buckinghamshire, East Sussex, Hampshire, Hertfordshire, Kent, London, Surrey, (Avon, Cornwall, Devon, Dorset, Gloucestershire, Somerset, Wiltshire) Wales Midlands (Bedfordshire, Derbyshire, Hereford & Worcester, Leicestershire, Lincolnshire, Northamptonshire, Nottinghamshire, Oxfordshire, Shropshire, Staffordshire, Warwickshire, West Midlands) East Anglia (Cambridgeshire, Essex, Norfolk, Suffolk) North West (Cheshire, Cumbria, Lancashire, Manchester, Merseyside) Yorkshire & North East (Durham, Humberside, Northumberland, Tyne & Wear, Yorkshire) Scotland Northern Ireland Diagram 5 Geographic spread of survey respondents 7

7 Nursing Home Managers Nursing Home Manager Salaries by Region Yorkshire & North East Wales Scotland North West South West South East Midlands Last Year Average National Salary: 35,616 ( 33,679) Most Common Benefits: 1 Minimum of 25 days holid ay(1) 2 Training Support (2) =3 Flexible Working ( ) =3 Pension Most Desired Benefits: Rated Current Package as: 1 Minimum of 25 days holiday (1) 2 Training Support ( ) 3 Flexible Working (2) Very Poor 3% (%) Poor 17.6% (2.4%) OK 23.5% (48.1%) Good 47.1% (29.6%) Very Good 8.8% (1.9%) Average Weekly Hours: (41.57) This survey has highlighted a significant increase in salaries, without a corresponding increase in average hours worked. Flexible working and pensions are more widely offered, and there is an increased appetite for training support compared with last year s survey, where previously pensions and performance related bonuses were more widely desired. Overall satisfaction with package has decreased. 8

8 Residential Home Managers Residential Home Manager Salaries by Region South West East Anglia Midlands Yorkshire & North East North West South East Last Year Average National Salary: 29,476 ( ) Most Common Benefits: 1 Minimum of 25 days annual leaves 2 Training Support (1) (2) =3 Flexible Working (3) =3 Subsidised Meals ( ) Most Desired Benefits: 1 Minimum of 25 days annual leav e 2 Training Support (1) ( ) 3 Flexible Working (2) Rated Current Package as: Very Poor 2.6% (6.2%) Poor 15.8% (18.6%) OK 29% (4.6%) Good 36.8% (25.6%) Very Good 15.8% (9%) Average Weekly Hours: 4.67 (41.96) This survey has highlighted an increase in salary, but interestingly a reduction in the average number of working hours. Overall satisfaction with package has increased. Subsidised meals are being more widely provided; with the appetite for further training support moving higher on the agenda for Residential Home Manager. 9

9 Staff Nurses (including RGN, RMN and RNLD) Staff Nurse Salaries by Region Wales Midlands East Anglia South East Last Year Average National Salary: 26,4 ( 25,433) Most Common Benefits: 1 Minimum of 25 days annual leave (1) 2 Training Support (2) 3 Pension (3) Most Desired Benefits: 1 Minimum of 25 days annual leave (1) 2 Training Support (3) 3 Pension (2) Rated Current Package as: Very Poor 9% (%) Poor % (%) OK 63.6% (5%) Good 27.3% (33%) Very Good % (17%) Average Weekly Hours: (37.25) This survey has highlighted that in the past 12 months Staff Nurses have become more dissatisfied with their package, despite a small increase in average salary, although there has been a corresponding increase in average hours worked. 1

10 Deputy Home Managers (including Residential and Nursing Homes) Deputy Home Manager Salaries by Region East Anglia North West South East Midlands Last Year Average National Salary: 27,425 ( 27,345) Most Common Benefits: 1 Minimum of 25 days annual leave (1) 2 Training Support (2) 3 Flexible Working ( ) Most Desired Benefits: =1 Minimum of 25 days annual leave (1) =1 Pension (2) 3 Training Support ( ) Rated Current Package as: Very Poor % (%) Poor 16.7% (2%) OK 5% (5%) Good 8.3% (3%) Very Good 25% (%) Average Weekly Hours: (35.5) Within this category of Deputy Home Manager, the average salary in Residential Homes was circa 25k, whereas the average salary in Nursing Homes was closer to 3k. This difference can be explained by the differing levels of qualification required in each environment. This survey has highlighted that in the last 12 months average working hours for Deputy Home Manager have increased substantially, without a significant increase in salaries. However, overall satisfaction with package has increased. This is perhaps due to last year s desire for more flexible working opportunities being fulfilled, leaving a larger appetite for pension provision amongst Deputy Home Managers. 11

11 New Categories Added for the 21 Survey As a result of feedback on our 29 Survey, we have included new categories for senior and executive staff, which has also been an area of increasing focus in our recruitment. The new categories are: Dom Care Manager Regional Area Manager Operations Director Other Director Owner/Proprietor We are obviously not able to give year on year comparisons for these categories, however will be able to provide you with our own commentary on the findings. In future years, we aim to provide a similar analysis showing year on year changes and developments. 12

12 Domiciliary Care Managers Dom Care Manager Salaries by Region North West Midlands Wales South East Yorkshire & North East South West Average National Salary: 23,65 Most Common Benefits: Most Desired Benefits: 1 Minimum of 25 days annual leave 2 Performance related bonus 3 Training Support 1 Minimum of 25 days annual leave 2 Training Support 3 Flexible Working Rated Current Package as: Very Poor Poor 14.3% OK 28.6% Good 42.9% Very Good 14.3% Average Weekly Hours: These findings mirror our experiences in this marketplace. Although this role is typically one of the less well remunerated in the industry, with working hours amongst the highest, satisfaction levels are high, with 57.2% of respondents viewing their current package as Good or Very Good. 13

13 Regional Area Managers Regional Area Manager Salaries by Region Midlands South East East Anglia Average National Salary: 34,914 Most Common Benefits: Most Desired Benefits: 1 Minimum of 25 days annual leave 2 Pension 3 Flexible Working 1 Minimum of 25 days annual leave 2 Flexible Working 3 Pension Rated Current Package as: Very Poor 12.5% Poor % OK 37.5% Good 5% Very Good % Average Weekly Hours: 38.5 This survey found that respondents in the South West were unwilling to share their salary details, so unfortunately it is not possible to comment on that region s trends. There is a clear variance with salaries in East Anglia, however it should be noted that under the title of Regional Area Manager, there are a wide range of functions, including commissioning, business sales, training and catering. In future surveys, therefore, it is the intention to ask respondents to define their role by job function, not title. 14

14 Operations Directors Operations Director Salaries by Region North West South East Midlands South West Average National Salary: 46,375 Most Common Benefits: Most Desired Benefits: 1 Minimum of 25 days annual leave =2 Flexible Working =2 Car/Car Allowance 3 Performance related bonus 1 Minimum of 25 days annual leave 2 Pension 3 Flexible Working Rated Current Package as: Very Poor % Poor 1% OK 6% Good 3% Very Good % Average Weekly Hours: 43.6 The widespread provision of a car/car allowance may be attributed to the nature of the role, as Operations Directors will often need to travel across all homes in their group. The higher salaries in the South West may be due to the prevalence of head offices of some of the largest healthcare groups in the UK. The salaries are therefore driven up by competition for the best talent, however the benefit is that a lot of the best talent in the UK is drawn to the South West, so there are more Operations Directors to choose from. 15

15 Other Directors Other Director Salaries by Region South West South East Midlands Yorkshire & North East Average National Salary: 4,117 Most Common Benefits: Most Desired Benefits: 1 Minimum of 25 days annual leave 2 Flexible Working =3 Training Support =3 Pension 1 Minimum of 25 days annual leave 2 Flexible Working 3 Pension Rated Current Package as: Very Poor % Poor 18.7% OK 37.5% Good 31.3% Very Good 12.5% Average Weekly Hours: 4.5 The responses for this category varied enormously (as may be seen from the graph above). In future surveys, we will ask directors to further define the nature of their directorship by function in order to provide you with more directly relevant benchmarking data. Under this category, job functions covered are commissioning, marketing, business development, HR and administration. 16

16 Owner/Proprietors Owner/Proprietor Salaries by Region Midlands South West Wales South East North West Average National Salary: 3,45 Most Common Benefits: Most Desired Benefits: 1 Flexible Working 2 Minimum of 25 days annual leave =3 Training Support =3 Subsidised meals 1 Flexible working 2 Minimum of 25 days annual leave 3 Training Support Rated Current Package as: Very Poor % Poor 27.5% OK 9% Good 9% Very Good 54.5% Average Weekly Hours: 43 The prioritisation of flexible working in this category could be construed as an insight into why these professionals have chosen this career path. It is not necessarily surprising that 54.5% of respondents rate their current package as very good, as it is entirely within their control, which makes the figure of 27.5% rating their package as poor somewhat bemusing. It could be inferred that the success (or lack of it) of their home(s) is affecting their ability to draw what they see as a fitting salary/package. The highest salary was in the North West ( 84,) and yet the respondent rated their package as merely Good. 17

17 Qualifications versus Salary Levels Qualifications Versus Salary Level NVQ 2/3 LMC NVQ 5 NVQ Assessor Highest Bsc RMA Only Bsc Highest Msc NVQ 4 Highest Nursing Diploma Only Nursing Diploma Included for the first time with in this salary survey was a question relating to respondents healthcare qualifications. It can be seen from the salary information already described that training support is high on the agenda for healthcare staff, so does having a strong base of qualifications affect salary levels? The graph depicts all the respondents regardless of their geographic location, and highlights some interesting facts: Those with only the Nursing Diploma are receiving higher remuneration than those that hold the Nursing Diploma along side other qualifications Those holding only a BSc degree level qualification receive higher remuneration, an average of 39,822, compared to their counterparts who hold multiple qualifications and receive 37,476 The newer qualification of Leadership and Management Certificate (LMC) does not seem to carry as much credence as some of the other qualifications with an average remuneration of 28,178 Those holding the NVQ 4 receive higher remuneration (average 4,23) than those holding the higher qualification of NVQ 5 who on average receive 33,554 It is interesting to note that the Government is changing nursing qualifications, which will be awarded at degree level for all entrants from 212. Our survey highlights that neither degree qualified care staff, nor those with a Masters receive the highest remuneration. There are a number of conclusions that may be reached from the findings that those with multiple qualifications seems to earn less than those that hold more than one qualification: The staff that feel that they are less well remunerated may opt to take up further training but on completing their training their current employer hasn t recognised that the extra qualification warrants further pay, or they will not receive further remuneration until they move to a new employer Those that vocationally choose to work in the healthcare sector, take the required qualification and then work to increase their practical experience rather than pursue further qualifications seem to be the most highly remunerated of all the respondents from the survey 18

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