McCall Memorial Hospital employees will get extra pay because they live in a resort area under a plan approved last week by hospital trustees.
The intent of the additional pay is to assist hospital staff to live and work in a resort community, where the cost of living is typically higher than in larger, local urban areas, according to the new policy.
It is not meant to fully cover the difference between living in a resort area and elsewhere, hospital Administrator Karen Kellie said.
"We're not going to be able to match, but we're assisting," Kellie said.
All employees will receive an additional 2.5 percent in wages times actual paid hours up to 80 hours per two-week pay period.
The flat rate is based upon employment classification.
Full-time employees receive an additional $1,000 this year.
Employees who work 56 to 75 hours per pay period receive $750, and employees who work 40 to 55 hours receive $500.
Temporary employees or those with less than 20 hours per week, or five months per year, will not receive the flat rate.
McCall Memorial Hospital has 116 full- and part-time employees.
The program is effective Sunday and is expected to cost the hospital $153,000, funding that was proposed in the 2006-07 budget as a housing allowance and revised to the policy adopted last week.
The extra pay is for all employees and is not based on the town where a staffer lives.
The supplemental pay is separate from base pay but is taxable income and is not considered a benefit like health insurance, Kellie said.
Employee retention cited
The assistance was needed to retain as well as attract employees because of the current shortage of nursing and other medical personnel in Idaho and across the nation, she said.
"This is fair market value to be able to recruit the top medical professionals we have working in all departments - this is what's needed," Kellie said.
"The people working here are highly marketable elsewhere," she said. "Our primary concern is retention, and we are trying to recruit as well. We're really glad to have the people we have."
The policy will be reviewed annually.
