Mitchell Rosner, MD, the new Chief Executive Officer of Charlottesville, Virginia-based UVA Health, told Becker’s Hospital Review that addressing staff concerns was ⁣a key priority when he assumed the role on an interim ⁣basis in February 2024.

Dr. Rosner ⁣focused on ⁣direct engagement with employees. “I had several one-on-one meetings, and⁣ worked to change some cultural elements to improve engagement around the issues staff and faculty had concerns about,” he said.

Industry-Wide⁤ shift: From Hiring to ⁢Retention

Hospital and health system CEOs are increasingly prioritizing employee engagement and retention, acknowledging evolving generational expectations and a growing sense of urgency in the⁣ healthcare workforce. The competitive landscape for healthcare professionals has intensified, making retention as crucial as recruitment.

Andres Duran, CEO of Dimmit Regional Hospital in Carrizo Springs, Texas, exemplifies this trend. While previously focused on attracting top talent,his priorities have shifted in 2024.

“In 2024, however, our priorities have shifted toward employee satisfaction and retention,” Mr. Duran told Becker’s. “We are⁤ investing more deeply in our existing staff, whether through professional ‍growth, recognition, or workplace culture, because keeping our team engaged is now paramount.”

This shift is driven by several factors, including the high cost of turnover, the increasing demand for skilled healthcare workers, and the desire to create a more positive and supportive work surroundings. Burnout, exacerbated by⁤ the COVID-19 pandemic, continues to be ⁢a significant challenge.

The Cost of Turnover and the Value of Engagement

The financial implications of employee turnover‍ are substantial. According to a 2023 report by the Society for Human Resource Management (SHRM), the cost⁣ of replacing an employee can range from one-half to two times the employee’s annual salary, depending on the role. These costs include recruitment, onboarding, training, and lost productivity.

Investing ⁤in employee engagement, conversely, yields significant returns. Engaged employees are⁣ more productive, more likely to stay with their organization, and more likely to provide high-quality patient care. A 2022 Gallup study found that highly engaged teams show a 21% greater profitability.