Good jobs, bad jobs?: Understanding the quality of aged care jobs, and why it matters.
Martin, Bill
Introduction
There can be little doubt that paid care work is here to stay.
Overall, paid care workers certainly number in the hundreds of
thousands. Accurate numbers are hard to come by, but the best recent
estimate indicates that more than 110,000 Australians have paid jobs
that focus around providing direct care in Australia's nursing
homes and hostels (Richardson and Martin 2004, see also Meagher and
Healy 2005). And there is every reason to believe that the forces that
have produced this army of paid carers will ensure that it grows in
coming years. Generally, more and more care will continue to be
'outsourced' from families, as household structures change,
patterns of participation in paid work evolve, and expectations shift
(see Breunan's contribution to this special issue). Our population
will continue to age creating growing need for aged care workers,
women's participation in paid work will continue to rise (if more
slowly than in the past), and more care of the ill and disabled will be
provided by paid carers as expectations of family provision decline (see
Hugo's contribution to this special issue). In short, it is a safe
bet that paid care work will offer significant and growing employment
opportunities for many years to come.
Popular accounts of work in the future often emphasise jobs and
work that are associated with the 'new economy'. They focus on
1T and other 'knowledge' work, or the importance of
'creative' workers with a similar emphasis on high technology
work in dynamic, rapidly evolving organizations. Yet rising employment
in paid care is an equal part of our 'new economy'. Saskia
Sassen emphasised nearly 20 years ago that the growth of business
service jobs (a form of 'knowledge work') goes hand in hand
with rising demand for personal services, including some forms of paid
care (1988). She also saw this as a source of rising inequality, as
employment tended to polarize between well paid, challenging jobs in and
around growing global companies, and poorly paid jobs with limited
future in the personal service sector. There is ample scope for
developing these ideas to understand the complex relations between the
glamorous new jobs so often emphasized by popular accounts of our work
future, and the growing realm of paid care work whose attractions may be
far more ambivalent. But a first step is to understand what paid care
work is like as work. How does it compare with other kinds of work? What
are its advantages and disadvantages, its costs and rewards?
In recent years, researchers have certainly begun to focus on
people's experiences working as paid carers (e.g., Harrington Meyer
2000). Unsurprisingly, how we think about paid care has been heavily
influenced by the movement of caring from the unpaid private realm of
the family to the realm of paid work and the labour market. Comparing
the provision of paid care with that of unpaid care, usually based
around family relationships, has certainly produced important insights
about the nature and experience of paid care work, whether this
comparison is made explicitly or implicitly. However, measuring paid
care work against other paid work (rather than other care work) is also
important, especially in fully understanding what the growing
opportunities in the area mean for workers. There is already
considerable research along these lines, especially outside Australia.
Much has been concerned with the quality of care jobs, particularly
their relative pay, and some with the more subjective experience of paid
care work (for a partial review, see England 2005).
How paid care jobs compare with other jobs is important from both
the 'demand' and 'supply' sides, so to speak. If
these jobs are unattractive, for whatever reasons, we can expect
difficulties in filling them in the future. Indeed, some paid care jobs,
particularly those highly feminised ones requiring few formal
qualifications, are often seen as 'bad jobs'--they are poorly
paid, have poor security, offer few training opportunities or
opportunities for advancement, and involve hard, dirty or demeaning work. But these characteristics are also problematic from the
'supply' side. We cannot be content with arrangements that
condemn large numbers of people to jobs that are 'bad', even
if the other alternatives available to them are not much more
attractive. Do paid care jobs actually have the characteristics of
'bad' jobs? And how do workers experience these jobs, do their
objective characteristics determine the experience of doing them? What
implications do variations in workplace experience and the
characteristics of jobs have for workers' inclination to stay in
their jobs, and thus for the future supply of paid care workers?
In this paper, I examine these issues by focusing on the direct
care workforce in Australian residential aged care facilities (nursing
homes and hostels). The aged care workforce is an important component of
the overall care workforce. It sharply raises many of the dilemmas and
issues that populate paid care work: Much aged care work has always been
poorly paid, most carers are women, the work can be physically demanding
and unappealing, career opportunities are often limited, many facilities
are under strong pressure to control or reduce costs. At the same time,
at least some workers find the experience of actually caring to be
rewarding and fulfilling, and they appear to continue to do this work
even though they might get other work that pays more or has better
conditions.
The care workforce in Australian nursing homes and hostels is one
of the few paid care workforces on which good data is now available. In
2003, the National Institute of Labour Studies at Flinders University was commissioned by the Commonwealth Department of Health and Ageing to
survey all Australian aged care facilities and a sample of direct care
workers employed by them. In all, we received responses from about 1,800
facilities and over 6,000 workers (for details of the surveys, see
Richardson and Martin 2004). Both surveys were fielded in mailback form
and yielded good response rates (just over 60% and 40% respectively for
the facilities and employees surveys). In this paper, I use data from
the survey of employees. This survey provided information about a range
of employment experiences and job characteristics, both objective and
subjective.
Are Direct Care Jobs in Aged Care Facilities 'Bad' Jobs?
The idea that the economy produces 'good' and
'bad' jobs originally gained currency in the early 1970s,
largely through the work of a group of American institutional economists
(e.g., Bluestone 1970, Doeringer and Piore 1971). They argued that the
American labour market was bifurcated between a core of 'good'
jobs and a secondary segment of 'bad' jobs. Good jobs offered
high wages and good conditions (notably health insurance in the U.S.),
employment security, promotion prospects and a range of employment
protections secured through legislation and unionization. Bad jobs
offered none of these advantages. In subsequent years the image of a
simple binary split between a primary and secondary labour market was
largely rejected. However, the rise of 'non-standard' forms of
employment in all the Anglophone economies over the past 20 years has
reinvigorated interest in the quality of jobs, and analysis of the
relation between bad jobs and non-standard employment has proven a
useful way of approaching the issues (e.g., Kalleberg et al. 2000,
McGovern et al. 2004).
Many current analysts of work in Australia believe that the quality
of jobs is a concern, and may be declining (e.g., Watson et al. 2003).
At the least, measuring the quality of jobs against the standard of the
'bad' job is a useful heuristic for assessing their quality.
To assess the quality of aged care jobs, I compare key characteristics
of the jobs of workers in this industry with those in the wider economy.
The characteristics on which I focus are: pay, type of employment
contract (casual vs. permanent), hours of work, job tenure and job
security, and training opportunities. In the classic formulations,
'bad' jobs are characterized by poor quality on all of these
measures.
To assess the relative pay of aged care workers, I compare their
actual pay with the pay they might expect in the wider economy, given
their 'human capital'. As in much of the remaining analysis in
this paper, I focus on the two occupational groups that make up the
lion's share of direct care workers in aged care facilities,
personal care workers and nurses. Personal care workers (hereafter 'personal carers' or 'PCs'), also known as
'assistants in nursing' and 'personal care
assistants', have become an increasingly important component of the
aged care workforce in recent years. Although their predominance varies
somewhat from State to State, they make up nearly 60% of all direct
carers in Australian residential aged care facilities, with nurses
composing about 35%, and allied health workers making up the remainder
(Richardson and Martin 2004: 19). Personal carers are not usually
required to have any qualifications in aged care, though most acquire at
least the Certificate III in Aged Care. In contrast, of course, nurses
have professional qualifications, whether they are RNls (registered
nurses) or RN2s (enrolled nurses).
Since PCs and nurses are quite distinct in their level of
qualification, the work they perform and their typical career paths, I
examine them separately throughout this paper. In analyzing each
group's pay, their expected earnings are calculated on the basis of
standard wage equations estimated on appropriate sub-populations from
the HILDA survey, a high quality national survey (see Watson and Wooden
2004). Thus, for example, I compared PCs earnings from the survey of
aged care workers with those of women with Certificate IV qualifications
or less from HILDA. This is an appropriate comparison group for PCs. I
compare nurses observed earnings with predicted earnings based on a
model for all women workers. (1)
At first blush, these analyses suggest that aged care workers are
not particularly poorly paid, at least compared to the earnings they
might expect elsewhere in the economy (Table 1). PCs earn about what we
might expect if their earnings reflected their human capital in the way
that earnings reflect human capital for other women with relatively
limited formal qualifications. (2) If anything, it appears that nurses
in aged care facilities earn more than we might expect on the basis of
how human capital affects earnings across the whole workforce. However,
women continue to suffer significant earnings penalties in Australia
(ABS 2005), and it is plausible that they are particularly susceptible
to being confined to 'bad' jobs. In other words, the predicted
earnings of PCs based on the experience of other similar women may not
be a useful test of whether their earnings are low since they reflect
the fact that women are far more likely than men to be in
'bad' jobs. To test this idea, I provide estimates of
PCs' predicted earnings if they were rewarded for their human
capital attributes in the same way as men with relatively low levels of
formal education. (3) These estimates suggest that, in such an imaginary
world, PCs might earn nearly 30% more than they actually do. By
contrast, if nurses suffered a wage penalty because they are women, it
was much smaller. On these measures, then, PCs' earnings are low,
given their age and qualifications. But they are probably not
dramatically lower than those of other similarly qualified women in
other jobs. In this, their wages probably reflect a general tendency for
women with low levels of formal education to suffer very low wages. In
contrast, the argument that nurses in aged care facilities are poorly
paid is more difficult to sustain.
On other measures of whether aged care jobs are 'bad'
jobs, the picture is generally more consistently positive. Table 2 shows
a range of such indicators. Casualisation of employment is a widely
remarked feature of the Australian labour market in recent years, and is
often taken as a prime component of decline in the quality of jobs
(e.g., Watson et al. 2003). The aged care workforce displays much lower
levels of casual employment than any comparable segment of the whole
Australian workforce. For example, about 18% of PCs are employed
casually compared to around 37% of all women with certificate IV
education or less, 31% of all women and 21% of all men. Other measures
of employment security suggest that aged care workers are as well off as
most other workers--they have similar (PCs) or greater (nurses) average
job tenure, and, though their satisfaction with their employment
security is a little lower than is generally the case in the Australian
workforce, the vast majority are happy on this score. PCs do show a much
lower level of full-time work than is usual across the economy, but it
is unlikely that this straightforwardly reflects a lack of choice since
a significant majority are happy with their hours of work, or want to
work less (Martin and Richardson 2004: 234).
'Bad' jobs are often characterized as offering few
training opportunities. However, training participation is, if anything,
higher than expected amongst aged care workers, particularly PCs. Once
we take account of their older average age, PCs have quite high rates of
participation in formal training, and aged care nurses' rates are
at least comparable to those of all Australian workers. Indeed, some 15%
of PCs and 8% of nurses aged 3044 were currently undertaking aged care
qualifications in 2003, and 9% of PCs and 6% of nurses aged 45 and over
were doing so. Training opportunities are usually seen as an indicator
of job quality in that they provide routes to higher pay within jobs, or
to career progression. Training in the aged care sector does appear to
have this effect amongst nurses. However, PCs achieve no wage benefits
from gaining the typical qualification for their work, in line with the
experience of all women workers with lower levels of formal
qualification. (4) Moreover, they do not gain access to straightforward
career paths, for example into aged care nursing, by achieving these
qualifications. This is not to say that this training is not a real
advantage for these workers, but its effects are less than might be
expected.
Aged care jobs are certainly not unequivocally 'bad'.
They offer security and training opportunities that are comparable with
much of the rest of the labour market. Indeed, for the lesser qualified
workers, those who work as PCs, levels of casual employment and
opportunities for gaining formal qualifications appear to be
significantly better than for many of their peers. On the other hand,
there is little doubt that these workers are not well paid. But they are
not alone in this; their low pay largely reflects the fact that women
with limited formal qualifications suffer significant wage penalties
compared to similarly qualified men. The heavily gender segmented labour
markets for people with limited formal qualifications continue to
sustain significant pay inequities between men and women. Personal
carers, like many of their peers, suffer the wage consequences. By
contrast, Nurses' wages appear to be more or less in line with
those in other parts of the economy, though, in fact, aged care nurses
generally have been paid at lower rates than other nurses. (5) In
general, nurses have been able to use their claims to professional
status and their professional organization to establish pay arrangements
that put them on a par with other similar professions. Combined with the
other features of their jobs, this means that aged care nurses are
certainly not in 'bad' jobs.
Retaining Aged Care Workers
Turnover rates amongst aged care workers are quite high. Data from
the 2003 survey of aged care facilities indicated that nearly 20% of
nurses and just over a quarter of PCs need to be replaced each year
(Richardson and Martin 2004: 31). (6) If aged care jobs are not
'bad' jobs, as the previous sections suggests, then an
important issue in understanding both the experience of aged care work
and the challenges managers of aged care facilities face in retaining
workers, is what affects the likelihood that workers will leave their
jobs. Because the survey of aged care workers was of a sample currently
employed in aged care facilities, it is not possible to directly assess
these factors. However, the survey did collect data on whether workers
expected to be working in the aged care sector 3 years from the time at
which they were surveyed. (7) About 72% of nurses and 75% of PCs said
that they expected to continue working in the sector for at least 3
years. These expectations could be affected by four sets of factors.
First, if employees do not find their employment arrangements amenable,
they may leave a job or industry. Relevant issues here would include
shift characteristics, whether workers are able to get the hours of work
they prefer, the type of employment contract available, and wages.
Secondly, workers may leave jobs if their experience of the work means
that they are unable to achieve the non-wage rewards they hope for. Some
of the key factors here might be aspects of subjective work experience,
including job satisfaction. In addition, much research suggests that
paid care workers' positive experience of their work is largely
through the rewards they receive from actually doing caring work. So
that the extent of opportunities to do this work, and to do it
satisfactorily, may be important aspects of the experience of work for
such workers. Third employees' personal characteristics may affect
their expectations about staying in the aged care sector, partly because
some characteristics may make them more likely to leave paid work
altogether. Personal characteristics also connote human capital which
will affect the alternative opportunities open to them. Finally, some
organizational characteristics of facilities may make work more or less
attractive to workers, and also indicate the extent of alternative
employment opportunities (e.g., the size of facilities or where they are
located).
Table 3 shows the results of estimating a logistic regression model
predicting whether workers expect to be in the aged care sector 3 years
after they were surveyed. First, the experience of work has a large
impact on expectations about staying in the sector for both groups. In
particular, job satisfaction is a major factor in explaining such
expectations. On the 60 point job satisfaction scale used here, each 1
point increase in job satisfaction produces a 5-6% increase in the odds
that a worker expects to remain in the aged care sector over 3 years
(controlling for other variables in the model). Adding only the job
satisfaction variable to a model containing all employment arrangements,
personal characteristics, and facility characteristics raises the
Nagelkerke [R.sup.2] from 0.13 to 0.26 for nurses and from 0.14 to 0.21
for PCs (analysis not shown in Table 3). Second, there are strong
indications that where nurses are able to use their professional
skills--acting out their professional identity, as it were--they are
more likely to expect to continue in the aged care sector. Thus, those
who say they make more use of their skills in their current jobs, and
those who work in facilities with only high care beds (which demand
greater use of their professional skills), are more likely to expect to
remain in the sector. (8) However, these factors do not affect PCs'
expectations, suggesting that they do not have the same professional
identities as nurses. Indeed, PCs' expectations about remaining in
the sector are affected by variables that may measure the general
conduciveness of workplaces in fairly routine jobs: PCs are less likely
to expect to remain in the sector the longer they have been with their
current employer, the more they feel under pressure to work harder, and
the larger the facility. None of these factors affects nurses'
expectations.
The employment arrangement variables measured here have a very
limited effect, with working regular night or evening shifts making
respondents less likely to expect to continue in the sector compared to
working other shifts. However, neither being employed casually nor wage
levels have any effect. Personal characteristics were included in this
analysis primarily as controls, and generally have limited effects on
expectations. It is notable, however, that older PCs and those with more
limited secondary education are more likely to expect to remain in the
sector. The age effect may indicate that older workers find this work
particularly conducive. Alternatively, it may arise because aged care
work is something of a last resort for workers with few alternatives, as
the education effect suggests.
In this analysis, aged care workers' experience of their work
looms as the major explanation for their expectations about whether they
will stay in the sector, with job satisfaction being a very powerful
predictor of intentions. But what determines their job satisfaction?
Job Satisfaction Amongst Aged Care Workers
Standard job satisfaction questions offer a useful window on how
workers feel about their jobs. They provide indications of whether
workers see their jobs as 'bad' ones or not, and are also
known to predict whether workers will stay in their jobs (Clark et al.
1998). Australian workers, like those elsewhere, generally express quite
high levels of overall satisfaction with their jobs, and with most
specific aspects of them (Martin and Pixley 2005). In doing so, they
appear to be making the judgement that the jobs they hold are as good as
they might reasonably hope for. Those expressing high job satisfaction
are not necessarily saying that they love their work, but they are at
least indicating that they do not reasonably believe they could get a
job that was much better. (9)
Aged care workers generally express quite high levels of job
satisfaction with most aspects of their jobs, though their satisfaction
appears to be consistently a little lower than for comparable sectors of
the whole Australian workforce (Table 4). The exception is pay, where
aged care workers express low satisfaction, whether they are PCs or
nurses. This is a striking result, especially in view of the fact that
neither group appears to suffer major wage penalties compared to
comparable women in other jobs. It suggests that aged care workers may
be attaching a meaning to their pay that is beyond simply what they
might plausibly earn in other jobs open to them. (10) Indeed, this very
low satisfaction with pay suggests that we should be cautious in drawing
strong conclusions about the somewhat lower job satisfaction of aged
care workers on other aspects of their jobs. Very high pay
dissatisfaction may have a suppressing effect on the expression of
satisfaction with other aspects of people's jobs.
Leaving aside their feelings about pay, then, aged care workers
probably feel virtually as positive about their jobs as the average
comparable Australian worker. This is quite encouraging news in terms of
the morale of the aged care workforce, especially given the effect of
job satisfaction on expectations to stay in the aged care sector. To
understand the determinants of job satisfaction amongst aged care
workers, I constructed a conventional index of job satisfaction by
adding workers rating of their satisfaction using an 11 point scale
(highly dissatisfied to highly satisfied) on the 6 aspects of their jobs
shown in Table 4. This variable was used in the analysis of expectations
about staying in the aged care sector in Table 3. The scale ranges from
0 (highly dissatisfied with all aspects of the job) to 60 (highly
satisfied with all aspects of the job). I estimated regression models
predicting scores on this job satisfaction scale using a similar set of
variables to that used for expectations. The results are shown in Table
5.
Work experience is the overwhelming determinant of job satisfaction
amongst aged care workers. One set of work experience factors is common
to many studies of job satisfaction, and relates to general workplace
conditions. Thus, job satisfaction is substantially higher if workers
believe that they use 'many' of their skills on the job or if
they feel that they have some significant autonomy in their jobs
('freedom to decide how to do their job'), and it is lower if
they feel under pressure to work harder. The skill usage and job
autonomy measures probably indicate whether employees feel that they are
able to perform their jobs in appropriately 'professional'
ways. These are usually thought of as related to 'intrinsic'
job satisfaction. Workers who feel under pressure to work harder are
most likely experiencing some aspect of the work intensification that is
a feature of many contemporary workplaces.
A second set of factors relates more directly to the distinctive
nature of the care work that these workers do. Thus, how much of their
workplace time employees spend with residents matters, though the effect
is more important amongst Nurses than PCs. For Nurses, there is a
gradient of effect: the more time Nurses spend in direct care, the
higher their job satisfaction. For PCs, the key issue appears to be that
if they spend less than two-thirds of their time in direct care work,
their job satisfaction will be lowered. These differences between Nurses
and PCs undoubtedly arise from the different job expectations of Nurses
and PCs: PCs expect to spend most of their time in direct care and are
unhappy as soon as this expectation is not met; Nurses may expect that
direct care is a smaller part of their job, but the smaller it becomes
the lower their job satisfaction. Perhaps most strikingly, even beyond
this more objective measure of how much time workers spend with
residents, their perception of whether they are able to 'spend
enough time with each resident' substantially affects job
satisfaction.
Finally, several variables affecting job satisfaction probably
indicate whether workplace arrangements are conducive to other aspects
of workers' lives. Such issues are likely to be particularly
important in a workforce that is primarily female and part-time. For
example, preferring to work different hours (either more hours or less)
reduces job satisfaction quite substantially for both nurses and PCs,
reducing their job satisfaction score by 4-5 points on our 60 point
scale. Moreover, preferring to work a different shift has a similar
effect on nurses' job satisfaction (though not PCs').
Objective employment arrangements have only small effects for both
groups once these preferences are taken into account: for Nurses being
on an irregular shift actually increases job satisfaction, and for PCs
being on a casual contract decreases it. (11)
These results have important implications. First, all of the most
important predictors of aged care workers' job satisfaction are
determined primarily by how work is organized in aged care facilities,
and are therefore largely under the control of facility managers. How
managers allocate hours and shifts will determine whether workers'
preferences are met. How they organize the daily performance of the care
work will largely determine how much time workers are able to spend with
residents, whether they use their skills in their jobs, whether they
experience some job autonomy, and whether workers experience the
pressures of work intensification. This is to say that managers in aged
care facilities have substantial scope to improve or hamper the morale
of their workforces. Moreover, our earlier analysis indicates that these
factors also affect whether workers expect to remain in the aged care
sector, sometimes having their effects directly and sometimes through
job satisfaction. While cost pressures undoubtedly do have the capacity
to derail even the most well intentioned management, our results
indicate that many aged care facilities in Australia were able to manage
these issues so as to produce high levels of job satisfaction amongst
workers.
The second implication is that the 'intrinsic' job
satisfaction experienced by aged care workers contains two distinct
elements. First, there is a component related to the
'professional' aspects of their work. Many of these workers
clearly see themselves as skilled at the jobs they do, and being able to
use their skills in an appropriately responsible and autonomous work
situation enhances their job satisfaction. In this respect, they are
like other workers with vocationally specific skills that are certified and widely recognized. Secondly, however, there are distinctive aspects
of aged care work that affect workers' job satisfaction. For both
nurses and PCs the opportunities they have, and feel they have, for
directly caring for residents have substantial effects on their job
satisfaction. And this is true even taking into account all of the other
factors that affect job satisfaction, including the opportunities to act
'professionally'. This result is consistent with a range of
research that emphasizes the importance of 'intrinsic'
motivations amongst paid care workers (England 2005). However, in
demonstrating the distinctiveness of the care related component of this
motivation, it raises again the vexed question of how exactly this
motivation arises. In particular, it reminds us that almost all aged
carers are women (around 95%), and highlights again the fraught issue of
how such a heavily gender coded form of work as caring, with such
correspondingly gendered forms of intrinsic motivation, can be organized
equitably for both workers and those receiving care (see Meagher 2006).
Conclusion
Focusing on the quality of care work and jobs in Australian nursing
homes and facilities leads us well beyond any simple notion that they
may be 'good' or 'bad' jobs. Some aspects of the
jobs are, at the least, far from desirable: the pay of PCs is undeniably
low, and significantly less than they would earn were they not women in
a women's occupation. But other aspects of the working conditions
are not so emblematic of bad jobs: job security appears to be generally
on a par with other parts of the labour market, most are employed
permanently, and the opportunities for training appear to be good. On
the other hand, career paths for PCs are certainly limited. Moreover,
aged care workers seem to be almost as satisfied with their jobs as
other workers, except on the issue of pay.
One important consequence of the quality of jobs is, of course, its
implications for people's willingness to undertake them - the
problem of labour supply. I have shown that most of the factors that
seem to affect aged care workers' willingness to remain in the
industry are in the control of management. A key issue is the effects
work arrangements can have on job satisfaction. Job satisfaction is
important in its own right as a component of job quality, and has
important effects on workers' expectations about remaining in the
sector. Workplace experience is the major determinant of variation in
aged care workers' job satisfaction. Some issues are common to most
workplaces (shift and hours arrangements, opportunities for job autonomy
and to use skills, etc.). However, there is also something distinctive
about the experience of caring work that has substantial effects on job
satisfaction. This is a widely noted phenomenon, often being discussed
in terms of the emotional bonds that develop between carets and those
they care for (e.g., Meagher 2006, England 2005).
Understanding paid care as work involves seeing both its
similarities to other work, and its distinctiveness. Indeed, I have
argued that its distinctive aspects are as important as those it shares
with other work, both for the quality of workers' experience at
work and for ensuring adequate supply of labour for the increasing
demand for paid carets. Although there is already considerable research
on paid care work, its distinctive character as work remains a fertile ground for future investigation. To the extent that it becomes better
understood, the capacity of managers in aged care facilities and similar
institutions to arrange work practices so as to maintain and enhance job
satisfaction will be increased. And this will enrich the lives of
workers, and improve the prospects that they will continue to work as
paid caters.
Acknowledgements
The data used in this paper comes from research commissioned by the
Commonwealth Department of Health and Ageing. Sue Richardson led that
research, and I am very grateful for her insightful analysis of it, for
advice and discussions about the work reported here, and for her
encouragement to use the data in this paper. Megan Moskos discussed many
of the ideas in this paper with me. I am also grateful for the work Josh Healy and Megan Moskos undertook to compare the aged care workforce with
the Australian workforce, which provided the impetus for some of the
comparisons in this paper.
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Endnotes
(1) The restriction of the comparison population for PCs is made
because the key issue in this analysis is whether aged care jobs are
worse than other jobs available to workers with similar human capital,
and limited formal education effectively excludes PCs from jobs
requiring significant post-secondary education. In contrast, nurses,
with significant post-secondary qualifications, are able to access jobs
at all levels of the labour market, so that it is appropriate to compare
them to all women.
(2) The HILDA data on which these wage equations are estimated was
collected a year earlier (2002) than the data for aged care workers
(2003). Given wage inflation, it is arguable that these results actually
indicate that PCs did earn a little less than might be expected. Table 1
does show the effect of adjusting for wage growth using the observed
increase in hourly ordinary time earnings for the health and community
services sector between 2002 and 2003.
(3) There is not a good measure of experience in our wage equation.
I use current tenure and age as proxies for experience, and these will
be better approximations for men than women (due to women's
tendency to leave the paid labour force for periods). This will tend to
overestimate women's experience, and therefore inflate our
estimates of their expected earnings. However, this problem is unlikely
to explain all of the large difference in expected earnings using the
male and female regressions estimates.
(4) The wage equation for all Australian women with certificate IV
or lower education, on which the predicted wage for PCs in Table 1 is
based, shows that post-secondary education has no effect on wages for
this group. Similarly, estimating wage equations for PCs on our aged
care workforce survey shows that gaining the Certificate III in Aged
Care has no significant effect on their wages.
(5) The future outlook for wages amongst these workers undoubtedly
depends on the overall state of the labour market. Any overall
deterioration means that the risk is definitely towards lowering wages,
especially in the context of the recent industrial relations law
changes.
(6) The overall turnover rate for women in health and community
services industries in 2004 was about 21% (ABS 2004). This figure would
include some very brief and casual employment.
(7) This item simply asked where workers expected to be working in
3 years, and thus does not distinguish those who expect voluntary and
involuntary departure. However, given the state of the aged care labour
market, it can be assumed that most who expect to depart will do so
voluntarily.
(8) Interestingly, the more that nurses feel they have the skills
to do the jobs, the less likely they are to expect to continue working
in the sector. This probably indicates that nurses with the strongest
professional identities may seek more challenging work outside aged
care.
(9) See Rose (2003) for a more extended discussion of the meaning
of job satisfaction measures.
(10) Part of the explanation for the very low level of pay
satisfaction in our survey of aged care workers may be that it was
undertaken during a prolonged campaign for higher wages in the NSW aged
care sector. The focus of union arguments was on the claim that aged
care workers were poorly paid compared to other similar workers.
However, it is implausible that this campaign could fully explain aged
care workers' disenchantment with their pay.
(11) In addition, a few of workers' personal characteristics
have small effects on job satisfaction. Nurses who were born in
non-English speaking countries and those who are the main income earners
in their household have somewhat lower job satisfaction, while those in
'excellent' health have higher job satisfaction. Amongst PCs,
being older and in better health (very good or excellent) increases
their job satisfaction quite substantially. Being the main income earner also has much the same negative effect on job satisfaction as it does
amongst Nurses. Finally, PCs in rural facilities and those in larger
facilities are more satisfied with their jobs. However, there are no
significant effects of facility characteristics on Nurses' job
satisfaction.
Table 1. Expected and observed earnings of personal carers and nurses
In Australian nursing homes and hostels, 2003
Personal carers Nurses (RNs and ENs)
Expected hourly wage--female $16.96 $21.67
regression
Expected hourly wage--male $21.53 $24.52
regression
Observed hourly wage $16.80 $24.01
--female aged care workers ($15.33) ($22.89)
Note: Expected wages are calculated from standard wage regressions
estimated using HILDA data. Regression for personal carers is based on
workers with Cert. IV education or less and uses the following human
capital predictors of wages: age, age squared, tenure, no. of
employees at workplace, years of schooling, years of post-secondary
education, partner status. Regression for nurses is based on all
workers and uses the same predictors as the RC equation plus
non-English speaking background status, and health status (excellent
health vs. other). Observed figures in brackets are deflated by the
rate of wage rise for the community services sector between 2002 and
2003 to allow for the fact that HILDA data were collected in the
former year, and the aged care survey data in the latter.
Table 2. Comparing job characteristics of the aged care workforce to
those of the Australian workforce
Aged Care Workforce
Job characteristic Personal Nurses
carers (RNs and
ENs)
Casual 17.9% 8.1%
Full-time 28.4% 41.2%
Job tenure (mean years) 5.8 8.0
Satisfied with job security 72.2% 74.5%
Currently studying post-sec 13.1% 6.5%
qualification
Currently studying post-sec 15.2% 7.8%
qualification, aged 30-44
Currently studying post-sec 8.9% 6.1%
qualification, aged 45+
Australian Workforce
Job characteristic Low All All male
education female workers
female workers
employees
Casual 37.0% 30.6% 20.5%
Full-time 41.3% 46.7% 81.6%
Job tenure (mean years) 5.6 5.9 9.0
Satisfied with job security 84.8% 85.4% 83.3%
Currently studying post-sec 17.2% 16.2% 12.4%
qualification
Currently studying post-sec 10.6% 11.7% 8.8%
qualification, aged 30-44
Currently studying post-sec 4.2% 5.9% 3.9%
qualification, aged 45+
Note: Figures for aged care workforce include women only. Figures for
Australian workforce include workers 18 and over.
Table 3. Determinants of Aged Care workers' expectations about working
in aged care sector in 3 years
Nurses
B Exp(B)
Employment Arrangements
Shift type (0 = regular day shift)
Regular eve/night shift -.731 ** .481
Irregular shift -.064 .938
Casual employee -.589 .555
Wage per hour .015 1.015
Experience of work
Months at current facility .002 1.002
Time spent in direct care (0=more than two thirds)
< one third .253 1.288
> one third and < two thirds .102 1.107
Able to spend enough time with each resident .050 1.051
Have the skill I need to do my job -.317 ** .729
Use skills in current job .278 ** 1.321
Have freedom to decide how I do my work .086 1.089
Do not feel under pressure to work harder .011 1.011
Job satisfaction .056 ** 1.058
Personal characteristics
Male -.756 * .470
Age .023 1.023
Born non-English speaking country -.762 * .467
Live with a partner -.075 .928
Main income earner .394 1.483
Self assessed health (0=good, fair or poor)
Very good health .084 1.088
Excellent health -.110 .896
No. hrs caring for people in own household .005 * 1.005
Years secondary education -.064 .938
Years post-secondary education -.098 .906
Hold aged care qualification
Currently studying aged care qualification .807 2.240
Facility characteristics
Facility location (0 = metropolitan)
Regional facility .512 * 1.669
Rural facility .556 * 1.743
High care places only .666 ** 1.947
Total no. employees .000 1.000
Facility ownership (0 = not-for-profit)
For-profit facility -.169 .845
Publicly owned facility -.623 * .536
Constant -2.910 .054
N 724
Nagelkerke R2 .298
PCs
B Exp(B)
Employment Arrangements
Shift type (0 = regular day shift)
Regular eve/night shift -.559 * .572
Irregular shift -.001 .999
Casual employee -.100 .905
Wage per hour .013 1.013
Experience of work
Months at current facility -.004 ** .996
Time spent in direct care (0=more than two thirds)
< one third .184 1.202
> one third and < two thirds -.267 .765
Able to spend enough time with each resident .002 1.002
Have the skill I need to do my job -.111 .895
Use skills in current job .058 1.059
Have freedom to decide how I do my work .065 1.067
Do not feel under pressure to work harder .126 ** 1.134
Job satisfaction .050 ** 1.051
Personal characteristics
Male .387 1.472
Age .035 ** 1.036
Born non-English speaking country -.184 .832
Live with a partner .492 * 1.635
Main income earner .308 1.360
Self assessed health (0=good, fair or poor)
Very good health -.173 .841
Excellent health -.378 .685
No. hrs caring for people in own household .003 1.003
Years secondary education -.193 * .825
Years post-secondary education -.119 .888
Hold aged care qualification .465 1.592
Currently studying aged care qualification -.324 .723
Facility characteristics
Facility location (0 = metropolitan)
Regional facility .434 1.544
Rural facility .412 1.510
High care places only .098 1.103
Total no. employees -.003 * .997
Facility ownership (0 = not-for-profit)
For-profit facility .140 1.150
Publicly owned facility .049 1.050
Constant -2.459 .086
N 784
Nagelkerke R2 .221
* p [less than or equal to] .05
** p [less than or equal to] .01
Note: Table shows results of a logistic regression in which the
dependent variable is whether respondents expect to be working in the
aged care sector 3 years after the survey. 'B' is the logistic
regression coefficient, and Exp(B) is the odds ratio corresponding to
a one unit change in the relevant independent variable (e.g., the odds
of a respondent saying he/she will remain in the aged care industry in
3 years increase by 32% if he/she says that his/her skills are used in
the current job). Nagelkerke's R2 is a logistic regression analogue of
explained variance in OLS regression; it provides an indication of the
net power of all independent variables to explain variation in the
dependant variable.
Table 4. Comparing the aged care workforce's job satisfaction to other
Australians'
Aged Care Workforce Australian Workforce
Job Personal Nurses Low All All
characteristic carers (RNs education female male
and female workers workers
ENs) employees
Security 0% 75% 85% 85% 83%
Pay 26% 29% 72% 72% 73%
Work itself 76% 65% 84% 85% 86%
Hours 71% 77% 78% 77% 77%
Flexibility 70% 66% 81% 80% 77%
Job overall 77% 71% 87% 87% 87%
Note: Figures for aged care workforce include women only. Figures for
Australian workforce include workers 18 and over.
Table 5. Determinants of Nurses' and PCs' job satisfaction
Nurses
B
Employment Arrangements
Shift type (0=regular day shift)
Regular eve/night shift 1.148 .038
Irregular shift 2.526 ** .092 **
Casual employee .270 .006
Wage per hour .130 .022
Experience of work
Months at current facility .001 .004
Time spent in direct care (0 = more than
two thirds)
< one third -4.825 ** -.202 **
> one third and < two thirds -2.993 ** -.122 **
Able to spend enough time with each resident 1.146 ** .155 **
Have the skill I need to do my job -.194 -.014
Use skills in current job 1.507 ** .196 **
Have freedom to decide how I do my work 2.383 ** .330 **
Do not feel under pressure to work harder 1.104 ** .191 **
Prefer different shift -4.141 ** -.170 **
Hours preferences (0 = same as current)
Prefer workless -4.233 ** -.143 **
Prefer work more -5.020 ** -.147 **
Personal characteristics
Male -2.254 -.045
Age .033 .025
Born non-English speaking country 2.322 ** .068 *
Live with a partner -.957 -.035
Main income earner -2.034 ** -.086 **
Self assessed health (0=good, fair or poor)
Very good health -.245 -.010
Excellent health 2.319 * .084 *
No. hrs caring for people in own household .010 .035
Years secondary education -.430 -.037
Years post-secondary education .414 .037
Currently studying aged care qualification .328 .007
Facility characteristics
Facility location (0 = metropolitan)
Regional facility .489 .018
Rural facility -.527 -.020
High care places only -.219 .009
Total no. employees .006 .063
Facility ownership (0 = not-for-profit)
For-profit facility -.945 -.037
Publicly owned facility 1.430 .047
Constant 15.756 *
R2 .409
N 733
PCs
B
Employment Arrangements
Shift type (0=regular day shift)
Regular eve/night shift -.393 -.016
Irregular shift .475 -.022
Casual employee -1.758 ** -.062 **
Wage per hour .089 .041
Experience of work
Months at current facility -.007 -.044
Time spent in direct care (0 = more than
two thirds)
< one third -2.887 ** -.098 **
> one third and < two thirds -2.082 ** -.095 **
Able to spend enough time with each resident 1.329 ** .222 **
Have the skill I need to do my job .787 * .081
Use skills in current job .868 ** .104 **
Have freedom to decide how I do my work 1.068 ** .172 **
Do not feel under pressure to work harder .760 ** .147 **
Prefer different shift -.587 -.028
Hours preferences (0 = same as current)
Prefer workless -4.463 ** -.122 **
Prefer work more -4.296 ** -.201 **
Personal characteristics
Male -.627 -.016
Age .120 ** .123 **
Born non-English speaking country -1.620 -.056
Live with a partner -1.521 -.070
Main income earner -1.552 * -.075 *
Self assessed health (0=good, fair or poor)
Very good health 3.137 ** .152 **
Excellent health 4.028 ** .156 **
No. hrs caring for people in own household .016 .059
Years secondary education -.287 -.030
Years post-secondary education -.497 -.050
Currently studying aged care qualification .380 .011
Facility characteristics
Facility location (0 = metropolitan)
Regional facility 1.187 .050
Rural facility 3.132 ** .129 **
High care places only -1.208 -.055
Total no. employees .013 ** .087 **
Facility ownership (0 = not-for-profit)
For-profit facility .656 .027
Publicly owned facility .103 .002
Constant 15.713 **
R2 .327
N 783
* p [less than or equal to] .05
** p [less than or equal to] .01
Note: Table shows results of an OLS regression on job satisfaction
scale.
'B' is the unstandardized regression coefficient, '_' is the
standardized regression coefficient.