Research team highlights significant income gaps at Workforce Board strategy meeting

Washington’s economic success has earned accolades here and across the country. But there’s more to the story beyond great technology, manufacturing and other jobs, often concentrated in King and Snohomish counties.

“Washington’s economic strength does not mean success for everyone,” said Dave Wallace, research director at the Workforce Board. “A closer look at the data shows major disparities throughout the state.”

Wallace and other researchers from the Workforce Board shared a detailed economic report to kick off the board’s 2023 strategic retreat Thursday.

Principal Researcher Coral Garey shared what’s considered a living wage for one adult and one child in Washington: $80,000 a year or more, as reported by the Massachusetts Institute of Technology’s Living Wage data. Yet 72 percent, or nearly three-quarters of Washingtonians, earned $80,000 a year or less, the most recent U.S. Census data shows.

“I want you to think about not only the data I show you, but the impact these income levels have on Washingtonians’ everyday lives,” Garey told Board members. “These aren’t just numbers on a screen – they’re the lived experiences of our community.”

The percentage of Washington workers earning more than the living wage were captured in the following categories:

• $80,000-100,000 a year—8% of workers.
• $100,000-200,000 a year—15% of workers.
• $200,000-500,000 a year—3% of workers.
• Over $500,000 a year—1% of workers.

Washington’s housing shortage was also discussed at the meeting. A Washington worker needs to earn at least $65,000 a year to afford a two-bedroom apartment at market rent, Garey said. This “housing wage” reported by the National Low Income Housing Coalition assumes workers pay 30 percent or less of their income on housing.

There are also considerable income gaps between urban and rural Washington. Some 39 percent of workers in King County make more than $80,000 a year. In South Central Washington, which includes Yakima, Skamania, Klickitat and Kittitas counties, only 13 percent earn that much.

And income gaps between men and women remain significant. Women make up more than half of the income bracket for those making less than $20,000 a year. The share of women among all income brackets steadily decreases as income rises.

The Board’s two-day retreat continued Friday, May 5 at the Hotel Murano in Tacoma.

Watch Thursday’s portion of the meeting here:

https://www.tvw.org/watch/?clientID=9375922947&eventID=2023051035

Workforce leaders support new clean tech jobs

New industries mean new jobs and opportunities.

Workforce Board co-chair Larry Brown on Tuesday testified in support of House Bill 1176, which creates the Clean Technology Workforce Advisory Committee.

The bill requires the Workforce Board to identify ways the state can support clean energy workforce training programs at every level, from apprenticeships to community colleges and more, Brown told the House Postsecondary Education & Workforce Committee.

“Having passed transformational clean energy policies in recent years, it’s very timely for the state to be getting organized around this topic,” Brown told lawmakers.

Washington’s Clean Fuel Standard kicked in on Jan. 1. Lawmakers have also passed the Climate Commitment Act, which creates a new cap-and-invest program. Both measures aim to cut greenhouse gases by creating incentives for businesses to adopt new technologies, among other measures.

Where will the workers come from to drive these changes? And how will the existing energy workforce be impacted? That’s where the Workforce Board comes in.

The board will work closely with employer and worker stakeholders to understand what skills are needed. The board will also consult with education and training partners to identify what programs already exist or can be adjusted – and when new training should be created entirely.

“Clean energy technology jobs are being created every day,” Brown said. “…As technology advances, new skills will be needed by our workers and used by our businesses.”

Brown listed a new battery materials plant in Moses Lake and opportunities in hydrogen energy as examples.

The Workforce Board has a long track record convening stakeholders to solve problems, explained Nova Gattman, the agency’s deputy executive director.

“We stand ready to support this effort by leveraging our expertise as an organization that brings together a range of diverse groups and working to develop policy recommendations to address challenging workforce issues,” Gattman said.

House Bill 1176 is sponsored by Rep. Vandana Slatter, D-Bellevue, who chairs the House Postsecondary Education & Workforce Committee.

The Workforce Board has voted unanimously to propose this stakeholder strategy to Gov. Jay Inslee and the Legislature. Brown testified Tuesday on behalf of the Workforce Board and with the support of Workforce Board Co-Chair Gary Chandler, who was unable to attend. Chandler is a vice president at the Association of Washington Business. Brown is the past president of the Washington State Labor Council.  The Workforce Board is a unique coalition of labor, business and government leaders working together so that every Washington community thrives.

Low wages, student debt drive shortages in behavioral health workforce, experts say

Low wages and high student debt levels are driving shortages and turnover among counselors, social workers, psychologists and other behavioral health workers in Washington, a new report shows.

Experts recommend state lawmakers consider two strategies to fight the ongoing shortage in Washington’s behavioral health workforce: Help raise wages and address student loan debt. A recent report shows some mental health counselors have average loan debt of $145,000, and make about $59,000 a year, for example.

These strategies were recommended by the Behavioral Health Workforce Advisory Committee in a new report. The committee includes many of the state’s leading behavioral health care experts and is one of several that advises Washington leaders on current workforce challenges and solutions.

Washington’s Workforce Training and Education Coordinating Board (Workforce Board) has led efforts to address behavioral health workforce barriers since 2016 and manages this advisory committee.

Demand for drug and alcohol counseling and mental health services has increased since the pandemic. At the same time, a lack of providers has made access to this care difficult for many Washington families.

The report recommends:

• Address low wages by advocating for increased Medicaid reimbursement rates and a new statewide reimbursement plan for services funded by the federal government. This model, if adopted, would help behavioral health clinics raise wages for counselors and social workers, for example.

• Boost state funding for behavioral health education loan repayment programs.

• Increase state funding to administer and evaluate the Washington Health Corps program, which includes the loan repayment program.

• Require employers and state officials to provide more information about the federal Public Service Loan Forgiveness program to help qualifying health care workers have their federal loans forgiven after 10 years.

• After studying results of a pilot project, fund scholarships for behavioral health students who agree to work in facilities that serve Washington residents with the greatest needs after graduation.

• Increase awareness that providers who work in community settings such as homeless shelters and supportive housing can count those hours toward loan repayment programs.

“Wages and student loan debt are major barriers to solving Washington’s behavioral health workforce shortage,” says Eleni Papadakis, executive director of the state’s Workforce Board. “Community clinics in rural and underserved areas are especially impacted. This means less help for Washington families when and where they need it the most. Addressing this challenge requires more than investing in loan repayment programs. We need a comprehensive strategy to both retain our current workforce and reduce the cost of education for students considering this field.”

The report also analyzed the results of the state’s investment to strengthen the behavioral health workforce in recent years.

The state has twice moved to increase federal Medicaid reimbursement rates; increased investments in the student loan repayment program for behavioral health providers; provided relief funds for community-based clinics; and created new programs to help primary care doctors connect with mental health experts and other resources to help patients.

Washington needs broad strategy to fight nursing shortage, Workforce Board experts say

Washington needs a broad range of tools to fight the state’s ongoing nursing shortage, experts from the Workforce Training and Education Coordinating Board testified Thursday before a legislative committee.

Much of the attention on this challenge is currently focused on education and training, the Workforce Board’s health care policy expert Renee Fullerton told the state Senate Higher Education and Workforce Development Committee. But the problem is much bigger than that.

The nursing workforce has been impacted by sickness and death from Covid-19; lack of affordable, quality child care; burnout, stress and safety concerns; a lack of qualified applicants and competition with other industries, among other challenges. These problems have placed a new emphasis on retaining the existing nursing workforce, not just efforts in training a new one.

“To address our current nurse workforce challenges, we need a coordinated policy response with work in multiple areas by different groups,” Fullerton said. “Actions just by government, just by employers, just labor groups or just the education systems won’t be enough to move us where we need to go in Washington.”

Fullerton is a policy associate at the Workforce Board who coordinates the state’s Health Workforce Council. She left lawmakers with several recommendations for a stronger workforce, including:

• More research on how Covid-19 has impacted the workforce
• Support for child care and other caregiving
• More employer support around burnout and stress
• Adequate staffing and personal protective equipment
• And better wages for nursing assistants, long-term care workers and other health care workers.

Washington’s nursing shortage continues to pose challenges for hospitals, clinics, and patients. A 2021 survey from the Washington State Hospital Association found 6,100 nursing positions were vacant at 80 hospitals across the state, The Spokesman-Review reported. There are more than 101,000 registered nurses with an active Washington license, the Washington Center for Nursing reports. However, child care and other challenges mean some of those people are not working in health care.

Student debt a challenge for healthcare workers

Fullerton also highlighted some of the financial challenges facing students. Using small data sample, the average student loan debt for nurse practitioners in 2022 was $94,345, according to the Washington Student Achievement Council. Registered nurses had an average debt of $43,941, and licensed practical nurses had loan balances of $26,446. The data came from 101 health care workers who applied to the Washington Health Corps, which offers student loan forgiveness to professionals who serve in critical areas.

“This offers just a snapshot, but it helps demonstrate how debt is carried by those across the licensed nursing profession,” Fullerton said.

Aging population puts pressure on long-term care

Lawmakers also heard from Donald Smith, PhD, the Workforce Board’s long-term care policy manager, who highlighted the staffing challenges in Washington’s long-term care workforce.

Staffing challenges have been made more difficult since the start of the pandemic, he said.

“Furthermore, the challenges are spotlighted by a growing population of baby boomers that will require increased long-term care services over the next couple of decades,” Smith said. “This increased demand will overwhelm the existing workforce capacity without a consistent stream of professional and paraprofessional direct care providers.”

Smith leads the Workforce Board’s long-term care policy project that is creating a new licensed practical nurse apprenticeship program to help certified nursing assistants grow their careers and move forward as licensed practical nurses, among other policy work.

The Health Workforce Council meets Dec. 8 at 10 a.m. to discuss the healthcare workforce challenges and more. See the agenda here. Contact Fullerton at Renee.Fullerton@wtb.wa.gov for more information.

Contact Smith at Donald.Smith@wtb.wa.gov for more information about the Long-Term Care Project.