Managing Human Resources: Healthcare Workforce Challenges

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Central Queensland University, Australia
Term –
HRMT20024: Managing Human Resources
Unit Coordinator:
Lecturer:
Assessment 3: Key challenges in attracting and retaining a workforce in
Healthcare Sector
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Student name:
Student ID:
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Contents
Introduction................................................................................................................................3
Key Challenges faced by HRM for Retaining and Attracting Workforce.................................5
Evolution of HRM..................................................................................................................5
Issues faced by HRM during the process of mergers and acquisitions..................................5
Industrial Relations (IR).........................................................................................................6
Human Resource Information System (HRIS)......................................................................6
Retention and Development of employees in the Global Environment.................................7
Recommendations and Solutions to HRM.................................................................................8
Hire the best people................................................................................................................8
Provide Job Satisfaction.........................................................................................................8
Performance Management.....................................................................................................8
Ensure Health and Safety of Employees at Work..................................................................9
Conduct Training Programs...................................................................................................9
Conclusion................................................................................................................................10
References................................................................................................................................11
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Introduction
Healthcare is a kind of industry which always works under pressure as they need to take care
of health and well-being of many people. The amount of pressure handled by them is much
more than the pressure held by the professionals of other industries. And records have
presented that the pressure tends to increase more than the expected. Henceforth, the Human
Resource Department of clinics situated in the small areas to the hospitals who have big
names in the industry are under pressure of retaining and attracting employees or workers. As
they feel the pressure of workforce shortage and increased demand. To overcome these
issues, HRM needs to analyse the reasons behind the shortages and they also need to identify
the solutions to decrease the rate of turnover of the employees. The reports have presented
that compared to year 2012 the shortage rate of employees have increased by approx. 35% in
the year of 2016 and several researches have shown that there would be around 1.2 million
vacancies available for the nursing professionals. The aging population could be one of the
reasons for reducing number of healthcare professionals. Another reason could be the lack of
skills and training required in the industry and a result of this there is massive increase in the
workload borne by the healthcare professionals. The limited skills and capacity is possessed
by the new generation fail to meet the growing expectations of patients/customers/clients.
The employers of healthcare sector seek to employ potential employees who possess high
skills as required by this sector. The HRM find difficulties in recruiting the new generation
because the new generation is very competitive and value benefits, also they are attracted to
new opportunities hence, it is difficult to retain the millennial workforce. Not just that,
hospitals and clinics are unable to retain their current staff as there are several new
opportunities which are available to the medical professionals. In former 6 years, the
employee turnover rates have been increased by 6% and these turnovers have left the
companies with huge losses. Companies falling under this category of industries have
incurred cost of millions in retaining and recruiting the staffs. The turnover rates tend to
incline because the millennial are not only interested in the pay-cheques but are also attracted
to several other perks and benefits. If the employees are not satisfied with the work
environment or training programs conducted for the advancement of the skills, then they
prefer to leave and look for better opportunities which adds value to their career. It is rightly
said that the employees do not leave their company rather they leave their managers. This
because managers are the people who are responsible for retaining the workforce and are also
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responsible for creating a happy working environment. Inflation in the rate of turnover and
staff-shortages often lead to Employee Burnout. Employee Burnout affects the mental and
physical health of the employees and make them unable to deliver their best. Consequently,
this affects the patients and wellbeing of patients negatively. The burnouts have resulted in
disappointment among the patients, the rate of dissatisfaction has been increasingly rapidly.
Employees of healthcare sector tends to seek developing programs and opportunities which
add significance to their vocation. This implies that HRM is at the duty of arranging such
programs which provide advancement in the skills of the professionals. Results have shown
that investment made in the training of the employees have paid-off as it has not only helped
in increasing the capabilities of the employees but has also helped the HRM in retaining their
employees. Hence, HRMs of healthcare sector should make strategies in order to retain their
employees by providing them job satisfaction. But in the process of retaining and recruiting
the workforce, there are several key challenges dealt by them, those key challenges are
discussed in detail in the next section of this essay.
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Key Challenges faced by HRM for Retaining and Attracting Workforce
The rapid increase in the employee turnover rate has enable HRM to formulate strategies for
retaining the employees and attracting the new employees. But there are several challenges
and issues faced by them which are stated below.
Evolution of HRM
Surveys are conducted in the hospitals to examine the impact of personal environment on
work and work commitments. The questions in the survey were put forward to the patients
who have been discharged from the hospital. The results of the survey are important as they
help in assessing the impact of HRM practices on the behavioural outcome of the employees.
It is observed that there is speedy increase in the absenteeism because employees do not
acquire job satisfaction. HRM has high impact on the attitudes of the employees, the attitude
of employees changes with augmented work commitment. And this eventually impacts the
organizational goals. In past, studies have shown that work commitment was directly affected
by the HRM practices. For example, systems like Merit-system and assessing the fairness of
promotions had influenced the employees’ obligation to achieve organizational objectives.
The work commitment of the employees and HRM practices are directly associated with each
other. The HR practices include training opportunities, job security and promotions. But the
recent studies have shown that the relation between the work commitment of the employees
and HRM operations might be conditional or indirect. Evidently, in the recent times the HRM
activities and practices are moderated by convinced intervening parameters. One of such
intervening parameter is personal fit of the employees (Kaufman, 2015). The HRM practices
often ignore the personal concern of the workforce hence the organizational goals are
impacted by it. As a result of which HRM faces difficulties in retaining their employees.
Issues faced by HRM during the process of mergers and acquisitions
A company cannot survive without the qualities like flexibility, adaptability, profitability and
prevailing market position. In order to attain a strong position in the market, every company
needs to possess these qualities, without them it would be almost impossible for the
companies to survive in the competitive global economy. In the industries like
pharmaceuticals or healthcare industries, companies or firms may work with the firms who
undertake the similar kind of manufacturing of products (Azizjon, 2015). It has become really
difficult for the companies to compete in the global environment, hence companies adopt the
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policies of acquisition and merger in order to sustain in the global economy. But there arises
an issue for HRM to manage the employees of both companies because the workforce of the
newly formed company are from different cultural environment. Hence, HRM fails to
identify and recognize the gap and this gap often result into workplace conflicts. Another
concern of HRM relates to attracting new talents and while hiring these new talents, it is the
key duty of the HRM to apply reasonable care and due diligence. As discussed HRM fails to
assess the cultural gap among the employees, as a result of which employees get
uncomfortable with the new environment and tends to leave their jobs.
Industrial Relations (IR)
Pay and change play a vital role in affecting the industrial relations. These are the frequently
recorded issues which results in affecting the industrial relations negatively. Traditionally, the
reasons which results in IR conflicts is employees’ struggle to change and truancy (Talukdar,
2013). In the recent times, other reasons which are recorded for IR conflicts are security
issues, clerical issues, reports of accident, job insecurities among the employees etc. In many
cases reported in the labour court, it has been ssen that HRM often waste their time in giving
explanation for the change needed. The pressure imposed on the employees for understanding
the need of change has resulted in employees’ resistance to change and delay in resolving IR
conflicts. Evidently in a famous case of Mid-Western Health Board (LCR17980), the trade
union claimed that the issues related to employees’ health must be addressed instead of taking
strict actions against them (Cowman, et. al., 2013). HRM often fails to adopt a sensitive
caring approach towards their employees (De Prins, et. al., 2018). These reasons lead to the
several conflicts in the industrial relations as a result of which employees do not gain
satisfaction at work and tend leave their jobs. Apparently, HRM should adopt strategies to
resolve IR conflicts in order to retain its workforce.
Human Resource Information System (HRIS)
An information system used in a health organisation is used for dealing with the process like
maintaining management and financial records. This also helps in managing the systematic
record which eventually result in improving the delivery of quality. HRIS is important from
both the perspective, viz. clinical and financial. As the system helps in supporting HRM in
several operations that are carried by HRM such as, recruiting the employees and assessing
the performance of the employees (Nagendra & Deshpande, 2014). The HRIS also helps the
HRM with providing crucial information that may help the HRM to plan strategies for
allocation of resources. The HRIS includes various features like payroll, maintaining
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electronic health records, etc. Although, there are several sectors which uses numerous forms
of HRIS, but in the healthcare sector the use of HRIS is still evolving. Worldwide, there
many healthcare centre who have implemented this system and have incurred heavy cost on
implementing the system. Though, there are several benefits of implementing the HRIS but
several failures of the system have also been recorded on largescale (Yalçindag, et, al., 2016).
Because HRM fails to review the system timely as a result, disturbance in the records is
reported which unable the HRM to evaluate the performance of the workforce.
Retention and Development of employees in the Global Environment
According to surveys, almost 76% of the professionals are looking for jobs both vigorously
and impassively. It is cannot be denied that there is gap between in retention and
development of the employees. Both the terms are directly proportional to each other. There
are several cses reported which outlines the fact that the employees tend to leave their jobs
because they feel that the job is not adding any value to their career. The employees often
realise that they do not have the desired skills because of which they resist development and
growth in their respective careers (De Spiegelaere, et. al., 2012). Hence, because the HRM
fails to address their concern, HRM finds difficulty in restraining their employees.
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Recommendations and Solutions to HRM
What are the measures the HRM of Healthcare sector can adopt for reducing the rate of
employees’ turnover? Following are the recommendations which the HRM can consider for
resolving issues of retaining and attracting employees or workforce.
Hire the best people
It is the responsibility of the Healthcare sector to give positive experience to their patients,
the hospitals are at the obligation to provide the best quality of care. When the performance
of the employees is reflected through the rate of satisfaction achieved by the patients. HRM
of the hospitals can pursue the technique of behavioural based interviews to hire the best
employees. This technique would help the HRM in assessment of interviewees that whether
or not they would be able to cope up with the patient-centric culture. With training employees
could be taught with the clinical operations but traits of compassion and commitment cannot
be developed through training.
Provide Job Satisfaction
A satisfied employee would deliver the best and consequently the patients would become
satisfied and happy. It is observed that when the employees feel that they are being heard or
their issues have been addressed, it gives them the feeling of supportiveness. As a result of
which companies reaps the effectiveness and efficiency in the performance of the employees.
Through survey within the organisation, hospital’s HRM can assess the amount of
satisfaction of the employees and this will also them to gauge morale of workforce. Even if
the organization fails to implement the suggestions of its workforce but employees would still
feel valued only by the fact that they have been asked to give their valuable inputs. These
days HRM follows an approach according to which HRM aim to keep the employees who are
at-risk or who could have left their job.
Performance Management
Consistent assessment of performance of the employees can help the HRM in reinforcing
better customer service. The HRM should assess the performance of the nurses and other
staff members at least 4 times a year for enhancement and improvement of communication
within the organization (Schopman, et. al., 2017). More accountability and accuracy can be
attained by an automated performance management system. Researches have shown that the
issues are caused because of the process and not because of people. Hence, a frequent job
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satisfaction can be achieved through a process of administration which follows the
workforce. The performance of the employees must be acknowledged by rewarding them
with certain enmities, incentives and awards.
Ensure Health and Safety of Employees at Work
It is the fundamental right of the employees to safely go home from work. HRM is at the
responsibility of ensuring health and safety of workers. Records have shown that a sudden
incline in the work stress reduces the efficiency of the workers and employees hesitate in
giving work commitments (Nyberg, et. al., 2019). Employees suffer from the issues like
depression, sleeping problems and instability of mind due to workplace. In order to reduce
the work-stress the HRM must conduct activities which lighten the stress at work and
facilities of work from home or flexible working hours would also result in reduction of
work-stress. Reduction in the work place stress would improve the efficiency of the
workforce, as a result of which decline in the rate of employment turnover can also be
achieved. The incline in the effectiveness in the performance of the employees would not
only benefit the individual but it would also benefit the organization.
Conduct Training Programs
HRM can achieve success in retaining their employees by executing a training program
which adds value to the career of employees. In several researches it has been found that the
newly recruited employees failed to survive in the organisation because they do not possess
the skills desired by the organisation, hence, newly recruited employees can also attain the
required skills through the process of training (Taha, et. al., 2015). Also, the performance of
the employees must be assessed through post-training evaluation. The post –training
evaluation would work as gauge to calculate the variations in effectiveness of the
performance of the employees among both pre and post training. Hence, HRM would be able
to retain their employees and attract new generation employees.
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Conclusion
The current era is competitive one and the employees are often attracted to jobs which gives
them not only monetary benefits but also add value to their career. As a result, HRM faces
difficulties in retaining its present employees. Ageing employees is another issue which
results in inflation in the rate of employment turnover rate and this issue is something which
cannot be resolved. HRM also face issues in attracting and recruiting the new employees
because their reported cases of conflicts regarding the industrial relations. In the essay several
issues which are faced by HRM in retaining and attracting new employees have been
discussed and the essay has also emphasised on the recommendations which HRM should
consider in order to decline the rate of turnover of the workforce.
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