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States are Reacting to Perfect Storm of Worker Recruiting

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 attracting new applicants.

Our analysis of what’s going on helped us see “The Perfect Storm” of recruiting. 

  1. Workers just received their IRS Tax refund check – The average tax refund for a person earning $20,000 per year was $2,971.79.
  2. Workers just received their Covid Stimulus Checks – A single mom with two children received $4,200.
  3. The Federal add on to unemployment means workers are receiving up to $15.50 per hour to stay home – The average weekly unemployment across the states was $320.  Add the $300 federal add-on and you get $620.00 which is $15.50 per hour to stay home.
  4. Childcare is still a major problem for in-home caregivers who have children.  Day care locations are closed and working moms can’t find care for their children.

We’ve had extensive discussions about this issue in our Home Care CEO Mastermind Groups, and we’ll be having another discussion this Thursday, May 13, 2021 in our Caregiver Quality Town Hall.

States are Reacting

In the past few days, we have seen indications that governors and legislators in many states have recognized the problem and are taking action.  This comes as a result of this past Tuesday’s dismal jobs numbers, and plenty of anecdotal evidence that businesses are rebounding but they can’t find workers. Hardest hit are food service and hospitality, and of course home care.

A number of states have started new initiatives to reverse this trend.

  • Arkansas, Montana, and South Carolina are ending their use of the $300 per week federal add-on to unemployment.
  • Maine, New Hampshire, North Carolina, Pennsylvania, and Rhode Island are reinstating job search requirements.
  • Montana will launch a back-to-work bonus of $1,200.00 for unemployed workers who return to work and maintain steady employment for at least one month.
What’s Happening in Your State?

What is happening in your state with regard to unemployment and other benefits?  What is your state doing to encourage workers to go back to their jobs?  How is this affecting your ability to attract new caregiver applicants?

We’d love to know what you are experiencing, and how it is affecting your recruiting system.  To share in this discussion, please join us this Thursday, May 13, 2021 at 2:00 pm eastern time for our Caregiver Quality Town Hall. This is an interactive discussion of major trends that are affecting caregiver recruiting.  This week we’ll be discussing The Perfect Storm of caregiver recruiting, and share some short term strategies to overcome the storm. Then we’ll have some small group discussion to talk with other owners about what they are doing and what’s working for them.

Join us for the Caregiver Quality Town Hall

If you are a subscriber to our newsletter, a client of our strategic business coaching process, or a members of a Home Care CEO Mastermind Group, you are invited to participate in our Town Hall conversation.  Please invite your HR manager or Recruiter to join you. Then you can have your own discussion about how you can apply these strategies and insights in your company to find and keep the caregivers you need.

CQA Town Hall – May 13, 2021 – Overcoming the Perfect Storm in Caregiver Recruiting

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