Healthcare Execs in Dallas Take Pay Cuts to Boost Minimum Wage

The Prime Minister, Deputy Prime Minister And Health Secretary Set Out The Governments Plans For The NHS

While many places are moaning and groaning and even arguing over the cost of minimum wage, one place recently took matters into their own hands and have voted to raise it. The Parkland Health and Hospital System in Texas voted this week to raise and boost minimum wage from $8.78 to $10.25 – the state’s minimum wage is $7.25 – to be paid out of a pool of money that would have gone to executives instead.

When the hospital’s board discovered that about 230 of the system’s employees weren’t making enough to live off of, they bumped up the rate for entry-level positions three dollars more than the state’s minimum. Dr. Jim Dunn, Parkland’s executive vice president and chief talent officer, states that the wage raise will go into effect come July 1 and will affect employees from the environmental, dietary and linen departments. While it will cost a whopping $350,000 to increase wages, it will be covered every year thanks to money laid out in the newly approved Pay for Performance plan.

Sounds great, right?! While it’s a great thing for the 230-some workers getting a raise, the money being used to pay those increased wages is coming from money originally set aside for bonuses for executives. While the $3 to $5 million for the year is not a total drain, those executives will definitely feel it on some level. According to Dunn, the decision was made in hopes of boosting their workers’ morale and, of course, to provide them with a decent living wage.

Bravo, Parkland! The rest of the nation, take note.

Photo by Paul Rogers – WPA Pool/Getty Images


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