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Panel Predicts Shortfall in Care for the Aged

By: Mike Mitka
JAMA, October, 11 2000

Chicago-Some pieces of good news may produce bad results for health care delivery in the upcoming decades. 

The good news is that people are living longer and women have increased professional job opportunities. That combination means, however, that planners are projecting a shortage of health care workers particularly of registered nurses, a field traditionally filled by women by 2020, when the majority of baby boomers reach the age when most medical attention is needed. 

Consequently, policy analysts are beginning to warn government, education, and business leaders about the coming problem. They are also trying to find solutions. 

The latest to join the growing chorus is a panel convened by the Nursing Institute at the University of Illinois at Chicago (UIC) College of Nursing. The panel, which met here a month ago to discuss "The Future of the Health Care Labor Force in a Graying Society," is chaired by Lynn Martin, former US secretary of labor. 

"How can we meet the challenges of an aging society? How do we face an aging health care labor force? How can we increase a declining pool of potential health care workers? How will market forces affect the quality and size of the necessary labor pool?" Martin asked, setting the framework for the panel's task. 

The panel, which will meet twice more before spring 2000, hopes to address these questions and issue a report by April. The panel members include business executives, policymakers, academics, and professional association leaders. Among them are former senator Bill Bradley; Kweisi Mfume, executive director of the NAACP; Louis Sullivan, MD, president of Morehouse School of Medicine and former secretary of the US Department of Health and Human Services; and Richard Corlin, MD, president-elect of the American Medical Association. 
Corlin said he was pleased with the first meeting and was impressed that turf protection by the various members was nonexistent. 

"This very pragmatic group wants to clarify the workforce needs particualrly at the level of RNs, LPNs, and nurses aides, and how our aging population is going to impact those needs and what will be the economic consequences," Corlin said. "We are especially interested in the effects of increased home health care and long-term care as our population ages." 
SOBERING STATISTICSStatistics presented to the panel by Noreen M. Sugrue, DrPH, senior research specialist at the University of Illinois Nursing Institute in Urbana show that: · In 2000, about 35 million people, or 13% of the US population, are aged 65 or older. By 2030, about 70 million, or 20%, will be aged 65 or older. 

· Between 1995 and 2010, the number of people in the United States aged 65 to 84 is expected to grow 13%. For those aged 85 or older, the growth rate is 56%. This means that while people aged 85 or older make up 2% of the population in 2000, by 2050 they will make up 5% of the population. 

· Until about 2040, the labor supply will grow more slowly than the population. Between 1995 and 2005, there will be a 10% decrease in the number of people aged 25 to 34 in the labor force. 

It is predicted that by 2020 there will be 20% fewer RNs than needed (JAMA. 2000;283:2948-2954). Many reasons are posited for this projected shortfall. Panel members stressed as one cause perhaps a bit belatedly the increasing job opportunities for women whotraditionally had been offered only two professional occupations: teaching and nursing. This lack of opportunity created an overstocked skilled, educated labor pool whose wages were suppressed because of their numbers. The panel noted that women now have opportunities in all professions. 

"Because of the revolution in the women's labor market, nursing isn't their only option," said Jim Smith, PhD, a panel member and senior economist at RAND Corp. "And because the wages and working conditions for nurses are not all that great, you can't find women willing to join this labor force like you did. They're gone." 

The potential for combating this emerging shortage is not good. The UIC researchers said that 92% of RNs are women and that percentage is not expected to change. They also predict there will not be an increase in the percentage of minority members who become RNs, which is troubling since minorities will be a growing percentage of the overall labor force. 
ROLE OF ECONOMICSSmith expects classic economics to play a part in the nursing situation. He said that wages for RNs should increase and attract more candidates but that these people will be paid for their advanced skills, while employers hire less expensive nurses' aides to perform certain traditional aspects of RN work. 

Because an aging population means an increase in people with chronic conditions who must be cared for in long-term care facilities or at home, some members of the panel also expressed concern about the nursing home industry. Their concern is valid considering that at a September 5 hearing before the Senate Special Committee on Aging it was noted that five of the 10 largest nursing home chains in the past few years have been in bankruptcy, and that about 1600 nursing homes are now operating under Chapter 11 bankruptcy protection. 
Also, testimony before that committee on July 27 by Nancy-Ann DeParle, administrator of the Health Care Financing Administration, revealed that 54% of nursing homes were below suggested minimum staffing levels for nurses' aides and 31% were below the suggested minimum staffing level for RNs. The suggested minimums are such that there are enough aides for each to spend 2 hours a day with each resident and enough RNs for each to spend 12 minutes a day per resident. 

The situation can be equally grim when family members care for someone at home, said other panel members. Personal wages may be lost and economic productivity may decline as workers are forced to stay at a family member's bedside. 

The panel heard that the supply of physicians should be adequate in the foreseeable future, although that workforce will be aging just as patients will be. Between 1998 and 2020, the percentage of active physicians over age 65 will increase by approximately 114%, while during the same period, the percentage of physicians under age 46 will drop 29% (Physician Characteristics and Distribution in the US: 2000-2001 Edition. Chicago, Ill: American Medical Association;2000). 

NEED COMMUNITY CONSCIOUSNESS: Len Nichols, PhD, a panel member who is principal research associate at the Urban Institute, Washington, DC, said he hopes the panel's work will reach the consciousness of the research and policy communities. 

"We're not going to come up with '14 Ways to Solve the Problem,'" Nichols said. "We're here to lay out the problem and say this is what policymakers and society should think about before it gets to a crisis level."