Why You Might Want To Hire Home Health Aides Through An Agency – Despite The Cost

One of the challenges of obtaining home health care for seniors is its cost, which is often beyond the means of people and their families. The cost barrier is especially true of aides hired through private home health agencies, which is often considerably more expensive than hiring an aide directly.

Risking Old Age in America (ROA): How difficult or easy is it to recruit home health workers?

Wendy Adlerstein: It’s definitely a laborious process. We have a team specifically dedicated just for recruiting and hiring. They screen hundreds of candidates. And we really only hire about 3 percent of the people we talk to.

ROA: How has the recent immigration crackdown affected your recruiting or your current employees?

Adlerstein: Unfortunately, we definitely see that there has been a shift. Certainly the pool of caregivers that are available is shrinking. One of the big things that we also see is the renewal process for employee authorization documentation is extremely slow, if not completely stopped.

ROA: How much do you pay your employees?

Adlerstein: In this region, agencies pay caregivers between $19 and $24 an hour.

ROA: And you pay FICA and other benefits?

Adlerstein: Yes. They’re all W-2 employees.

ROA: I understand that Massachusetts is one of the few states that doesn’t regulate home health agencies and that people in your field actually would prefer to have regulation. Why is that?

Adlerstein: Yes, that is a very big topic right now because there’s a bill in the legislature that is getting some traction this time around. It would create standards that replicate what we are already doing. Unfortunately, there are agencies out there that do not follow the same guidelines. This can create some safety issues and concerns for anyone opening their home and letting someone come in without all the proper oversight and background checks. Licensure would standardize and professionalize home care in Massachusetts.

Listen to the entire conversation here.

Topics

00:29 Overview of the Home Healthcare Agency

01:13 Benefits of Being Part of a Franchise

01:52 Wendy’s Background and Journey

02:54 Differences Between Private and Nonprofit Home Care

03:38 Typical Clients and Home Health Aides

04:59 Recruitment and Vetting Process

06:15 Impact of Immigration Policies

08:46 Employee Compensation and Client Costs

14:09 Regulation and Licensing in Home Care

20:12 Challenges and Recommendations 24:50 Conclusion and Final Thoughts

For more from Harry Margolis, check out his Risking Old Age in America blog and podcast.  He also answers consumer estate planning questions at AskHarry.info.  To stay current on the Squared Away blog, join our free email list.