New Nursing Home Report Shows Signs of Stabilizing Workforce Issues
Oakland, NJ, July 2023 – For the second year in a row, nursing home caregivers (RNs, LPNs, and CNAs) received considerable hourly rate increases, ranging from 7.04% to 9.66%, according to the recently released 2023-2024 HCS Nursing Home Salary & Benefits Report. The national study is published by Hospital & Healthcare Compensation Service (HCS) in cooperation with LeadingAgeand supported by AHCA.
Ongoing workforce issues relating to staffing shortfalls and employee retention have seen nursing homes respond by heavily increasing hourly rates for RNs, LPNs, and CNAs once again in 2023. While the 2023 increases dropped slightly from the double-digit increases of 2022, they are still nearly double the routine yearly increases of 3-5% that were seen prior to 2020. The national hourly rate for RNs in 2023 was $37.86; the hourly rate for LPNs was $29.66; and the rate for CNAs was $18.68 (national hourly rates represent the 50th percentile of data).
Historical Hourly Rate Increases
Job Title |
2020 |
2021 |
2022 |
2023 |
RN |
3.78% |
4.08% |
11.08% |
7.04% |
LPN |
3.33% |
4.82% |
9.38% |
8.89% |
Certified Nurse Aide |
4.76% |
7.13% |
11.15% |
9.66% |
National averages based on trend data from the same participants year-to-year from the
2020 – 2023 HCS Nursing Home Salary & Benefits Reports.
In addition to rate increases to improve employee retention, nursing homes continued to utilize sign-on bonuses to attract new talent. 65.05% of survey respondents reported providing sign-on bonuses; 80.19% of those providing sign-on bonuses reported offering sign-on bonuses for three or more of the surveyed positions/departments. 47.88% of participants reported offering sign-on bonuses for RNs, with an average bonus of $4,879; 46.06% offered bonuses for LPNs, with an average bonus of $3,770; and 40.00% of participants for CNAs, with an average bonus of $2,157.
As evidence that these measures may be starting to take effect in stabilizing workforce issues, year-over-year turnover rates in nursing homes have declined for the first time since 2020. Turnover rates for RNs dropped to 39.03% in 2023, approaching the typical rate of 30-35% seen prior to 2020; LPN turnover rates decreased to 38.21% in 2023, moving closer to the standard 30% rate seen pre-2020; and CNAs declined to 50.83%.
Historical Turnover Rates
Job Title |
2020 |
2021 |
2022 |
2023 |
RN |
34.49% |
41.06% |
46.23% |
39.03% |
LPN |
29.30% |
37.67% |
41.33% |
38.21% |
Certified Nurse Aide |
39.39% |
51.38% |
54.81% |
50.83% |
Average turnover rates from the 2020 – 2023 HCS Nursing Home Salary & Benefits Reports.
This year marks the 46th annual year of publication. 1,089 nursing homes participated in the study and provided compensation data on 111,600+ employees, covering 46 management and 54 nonmanagement positions. 41.14% of study participants were not-for-profit facilities, while 58.86% were for-profit facilities. The results are reported according to bed-size, profit type, revenue size, region, state, and CBSA. The Report includes 19 fringe benefits, shift differentials, contingency staff utilization, and projected salary increases by department for 2023 to 2024. Data in the study are effective as of March 2023.
The Nursing Home Report is available for $375. To order online, visit the HCS website at www.hhcsinc.com or call (201) 405-0075. HCS also published a separate CCRC Salary & Benefits Report in June, as well as its Assisted Living Salary & Benefits Report, which was released earlier this year.
HCS, founded in 1971, is recognized as the leader in national healthcare salary and benefits research. HCS conducts national and custom marketplace studies, publishing more than ten specialized Reports each year.
