Parkland Health boosting its minimum wage, funded by executives’ bonus pool
Parkland Health & Hospital System will raise the minimum wage of its entry-level workers to $10.25 an hour—and initially fund the boost from the bonus checks of executives.
The Employee Relations Executive Compensation Committee at the Dallas-based system announced the plan last Wednesday. Dr. Jim Dunn, Parkland’s executive vice president and chief talent officer, told Modern Healthcare the current minimum wage paid by Parkland is $8.78 an hour. The boost to $10.25 will put Parkland employees even further above Texas’ $7.25 minimum wage, which matches the federal rate. The plan, effective July 1, will cost $350,000 its first year and will affect about 230 employees who primarily work in environmental, linen and dietary services. The committee had been meeting to iron out a pay-for-performance compensation plan for Parkland’s 60 vice presidents and top leaders. The cost of the minimum wage hike will be covered from this upcoming quarter’s executive bonuses.
Parkland, one of the largest safety net health systems in the country, has been going through a major overhaul of its administration after several years of turmoil. The minimum wage decision was part of the new leadership team’s desire to improve employee morale and provide a better living wage to frontline staff, Dunn said.