How To Find Out What Health Care Jobs Are Available In California

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1 California Healthcare Employment Outlook Amar Mann Economic Analysis & Information Branch Chief San Francisco Office August

2 What is the Bureau of Labor Statistics? The federal agency which produces the most important statistics on the state of the economy Employment and Unemployment Prices Wages and Benefits Projections

3 3 146, , , ,000 Employment in total nonfarm January 2005 July 2015 Seasonally adjusted, in thousands Embargoed pre-release until :30 AM (EDT) July 2015 Level: 142,071 OTM Change: 215* Jan 2008 peak: 138,365 Feb 2010 trough: 129, , , , , , , ,000 Jan-05 Jan-07 Jan-09 Jan-11 Jan-13 Jan-15 Bureau of Labor Statistics, Current Employment Statistics survey, August 07, Shaded area represents recession as denoted by the National Bureau of Economic Research. Most recent 2 months of data are preliminary. * denotes significance.

4 60 4 Employment in health care Over-the-month change, January July 2015 Seasonally adjusted, in thousands Embargoed pre-release until :30 AM (EDT) Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Bureau of Labor Statistics, Current Employment Statistics survey, August 07, Most recent 2 months of data are preliminary.

5 5 Embargoed pre-release until :30 AM (EDT)

6 Large Growth in Jobs and Wages for Healthcare in LA

7 CALIFORNIA HEALTHCARE 7

8 12-month Percent Change in California Employment Offices of Physicians Hospitals Total Nonfarm Source: U.S. Bureau of Labor Statistics Current Employment Statistics, Private Industry, not seasonally adjusted 8

9 Employment Growth in Offices of Physicians Outpacing Hospitals in Los Angeles 25% 20% 15% Percent Change in Employment from : Hospitals = 6% Offices of Physicians = 22% 10% 5% 0% -5% Offices of Physicians Hospitals Source: U.S. Bureau of Labor Statistics QCEW annual averages, Los Angeles County 9

10 High Wages for Healthcare Occupations on West Coast Source: U.S. Bureau of Labor Statistics Occupational Employment Statistics 10

11 Top Paying Metropolitan Areas for Registered Nurses Nationwide (May Top 10 Metropolitan Areas are All Located in California) Metropolitan area San Francisco-San Mateo- Redwood City, CA Metropolitan Division San Jose-Sunnyvale-Santa Clara, CA Employment Employment per thousand jobs Location quotient Annual mean wage 14, $127,670 14, $123,190 Vallejo-Fairfield, CA 3, $121,670 Oakland-Fremont-Hayward, CA Metropolitan Division Sacramento--Arden-Arcade-- Roseville, CA 20, $121,040 16, $108,340 Napa, CA 1, $105,360 Modesto, CA 3, $104,910 Santa Rosa-Petaluma, CA 3, $100,600 Salinas, CA 2, $100,130 Santa Cruz-Watsonville, CA 1, $98,310 Source: U.S. Bureau of Labor Statistics Occupational Employment Statistics 11

12 Healthcare Industry Employment, Los Angeles County, 2014 Employment Establishments Average weekly wage General medical and surgical hospitals 105, $1,420 Offices of physicians 82,955 10,980 $1,918 Nursing care facilities 43, $642 Offices of dentists 30,200 5,647 $946 Outpatient care centers 26, $1,210 Home health care services 24,395 1,124 $636 Community care facilities for the elderly 14, $530 Residential mental health facilities 14, $615 Medical and diagnostic laboratories 9, $1,066 Other ambulatory health care services 6, $799 Psychiatric and substance abuse hospitals Source: U.S. Bureau of Labor Statistics QCEW th quarter, Los Angeles County 2, $857 12

13 Trends in RN employment by Industry (National Data) Percent change in employment from % 100% 80% 60% 40% 20% 0% All industries General Medical and Surgical Hospitals Offices of Physicians Home Health Care Services Nursing Care Facilities (Skilled Nursing Facilities) Outpatient Care Centers Employment Services -20% Source: U.S. Bureau of Labor Statistics Occupational Employment Statistics 13

14 Trends in LVN employment by Industry (National Data) 60.0% Percent change in employment from % 40.0% 30.0% 20.0% 10.0% 0.0% % All industries Nursing Care Facilities (Skilled Nursing Facilities) -20.0% General Medical and Surgical Hospitals Offices of Physicians -30.0% Home Health Care Services Continuing Care Retirement Communities -40.0% Employment Services 14 Source: U.S. Bureau of Labor Statistics Occupational Employment Statistics

15 Projected Population Growth 2010 to 2060, Numeric Change California = 15,384,201 Source: California Department of Finance, Demographic Research Unit, January

16 Source: California Department of Finance, Demographic Research Unit, January 2013 Projected Population Growth 2010 to 2060, Percent Change California = 41.2 percent

17 California s Aging Population 18,000,000 16,000,000 14,000,000 12,000,000 10,000,000 8,000,000 6,000,000 4,000,000 2,000, Source: California Department of Finance, Demographic Research Unit, January 2013

18 Source: California Department of Finance, Demographic Research Unit, January 2013 Median Age California = 35.2 years

19 Source: California Department of Finance, Demographic Research Unit, January 2013 Median Age California = 38.9 years

20 Employment Count by Worker Age 20 year change 160,000 California General Medical and Surgical Hospitals 140,000 Employment Count 120, ,000 80,000 60,000 40,000 20,000 - Source: under

21 Economic Effects of Health Care Reform Health Care Reform Growth in Coverage Decelerating Benefit Costs to Employers Greater Demand for Preventive & Routine Treatment Increased Resources for Jobs and Wages

22 Economic Effects of Health Care Reform cont. Greater Demand for Preventive & Routine Treatment Increased Resources for Jobs and Wages Growth in Wages Growth in Employment Increasing Health Care & Allied Industry Employment Multiplier Effects in Economy

23 23

24 Fastest Growing Major Occupational Groups in California Occupational Title Annual Average Employment Employment Change 2014 First Quarter Wages Numerical % Median Annual Personal Care and Service Occupations 795,500 1,048, , $22,743 Construction and Extraction Occupations 587, , , $51,700 Computer and Mathematical Occupations 494, , , $92,491 Healthcare Support Occupations 360, ,400 81, $30,874 Food Preparation and Serving Related Occupations 1,329,100 1,595, , $19,639 Business and Financial Operations Occupations 888,900 1,059, , $70,558 Life, Physical, and Social Science Occupations 197, ,100 36, $74,725 Healthcare Practitioners and Technical Occupations 755, , , $82,293 Transportation and Material Moving Occupations 973,300 1,119, , $29,329 Building and Grounds Cleaning and Maintenance Occupations 577, ,500 85, $24,869 Installation, Maintenance, and Repair Occupations 499, ,000 72, $46,819 Source: California Employment Development Department, Occupational Projections 24

25 Healthcare Occupations with the Largest Job Growth in California Occupational Title Annual Average Employment Employment Change Numerical Percent 2014 First Quarter Wages Median Annual Registered Nurses 254, ,400 42, % $95,415 Nursing Assistants 98, ,600 23, % $28,426 Medical Assistants 81, ,500 18, % $32,940 Home Health Aides 44,900 62,400 17, % $23,267 Licensed Practical and Licensed Vocational Nurses 60,700 76,300 15, % $52,225 Dental Assistants 45,200 52,200 7, % $36,850 Pharmacy Technicians 31,400 37,200 5, % $38,445 Dental Hygienists 21,800 26,900 5, % $100,312 Physical Therapists 16,400 21,100 4, % $91,156 Medical and Clinical Laboratory Technicians 16,000 20,500 4, % $42,593 Source: California Employment Development Department, Occupational Projections 25

26 Fastest Growing Healthcare Occupations in California Occupational Title Annual Average Employment Employment Change Numerical Percent 2014 First Quarter Wages Median Annual Occupational Therapy Assistants 1,600 2, % $68,470 Diagnostic Medical Sonographers 4,700 6,700 2, % $87,018 Home Health Aides 44,900 62,400 17, % $23,267 Orthotists and Prosthetists 1,100 1, % $60,521 Physical Therapist Assistants 4,500 6,100 1, % $64,137 Physical Therapist Aides 5,900 7,900 2, % $27,166 Physician Assistants 8,300 11,100 2, % $102,537 Therapists, All Other 3,800 5,000 1, % $55,037 Audiologists 1,000 1, % $84,650 Physical Therapists 16,400 21,100 4, % $91,156 Source: California Employment Development Department, Occupational Projections 26

27 Average Annual Job Openings (Growth + Replacement Needs) California Healthcare Occupations Occupational Title New Jobs Average Annual Job Openings Replacement Needs Total Jobs 2014 First Quarter Wages Median Annual Registered Nurses 4,300 4,930 9,230 $95,415 Nursing Assistants 2,310 1,870 4,180 $28,426 Medical Assistants 1,890 1,560 3,450 $32,940 Licensed Practical and Licensed Vocational Nurses 1,560 1,480 3,040 $52,225 Home Health Aides 1, ,610 $23,267 Dental Assistants ,640 $36,850 Dental Hygienists ,060 $100,312 Pharmacists ,050 $136,066 Physicians and Surgeons, All Other ,050 N/A Pharmacy Technicians $38,445 Source: California Employment Development Department, Occupational Projections 27

28 Average Annual Job Openings, Los Angeles County, New Jobs Replacement Needs Total Jobs Median Annual Wages Registered Nurses 973 1,360 2,333 $93,311 Nursing Assistants ,183 $27,539 Licensed Practical & Licensed Vocational Nurses ,023 $51,941 Medical Assistants $31,368 Home Health Aides $24,768 Dental Assistants $36,286 Medical & Clinical Laboratory Technicians $39,305 Pharmacists $135,792 Dental Hygienists $105,239 Physical Therapists $88,586 Pharmacy Technicians $36,361 Source: California Employment Development Department, Occupational Projections 28

29 California Healthcare Projections by Industry Number of jobs added, ,000 60,000 50,000 40,000 30,000 20,000 10,000 Other residential care facilities ,000 General medical and surgical hospitals Offices of dentists Specialty (except psychiatric and substance abuse) hospitals Nursing care facilities (skilled nursing facilities) Psychiatric and substance abuse hospitals Offices of physicians Outpatient care centers Medical and diagnostic laboratories Other ambulatory health care services Residential intellectual and developmental disability, mental health, and substance abuse facilities Home health care services Offices of other health practitioners Continuing care retirement communities and assisted living facilities for the elderly -20,000 Percent increase in employment, Source: California Employment Development Department, Industry Projections, Private Industry 29

30 BLS INPUTS FOR PPS 30

31 Sources of Market Basket Weights for the Prospective Payment System Hospital Input Price Index Consumer Other, 2% Price Index, 3% Producer Price Index, 21% Employment Cost Index, 74% Source: Centers for Medicare & Medicaid Services 31

32 BLS Indexes used for PPS Producer Price Indexes (PPIs) measure changes in the prices producers receive for their output Consumer Price Indexes (CPIs) measure changes in the prices of final goods and services purchased by the typical consumer Employment Cost Indexes (ECIs) measure the rate of change in employee wage rates and employer costs for employee benefits per hour worked 32

33 Why use BLS data for PPS? These data are well-established publicly available series that are published on a regular schedule, are available on a timely basis and reflect an appropriate level of detail necessary for use in our market baskets. - Centers for Medicare & Medicaid Services Source: Reports/MedicareProgramRatesStats/Downloads/info.pdf 33

34 Thank YOU! Most BLS data related to healthcare are voluntarily reported Thank you for your participation! 34

35 BLS San Francisco Regional Office Economic Analysis & Information

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