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- Last Updated: June 26, 2023

Want to Improve Employee Retention in Healthcare? Start With Patient Satisfaction
Discover the relationship between employee satisfaction and hospital patient experiences, and how you can improve both.
Patient satisfaction in healthcare is an important part of any organization, but its impact on employee retention is less often considered. When patients are happy, it not only reflects positively on the healthcare organization but also creates a positive working environment for employees. On the other hand, when patients are unhappy with their care or experience, it can be a huge blow to employee morale and lead to higher turnover rates.
In a 2022 research paper, authors reported, “Fifty percent of hospitals where burnout is high have poor work environments, which is strongly related to lower patient satisfaction.”
The relationship between patient satisfaction in healthcare and employee retention is undeniable; when patients are satisfied with their overall hospital experience, they’re more likely to act positively toward clinical staff. This, in turn, leads to higher job satisfaction levels among employees. However, understanding how this relationship works in practice is a bit more complicated.
For one, many factors contribute to patient satisfaction in healthcare and employee retention. It can also be difficult to tell if decreased patient satisfaction or employee burnout came first. Nonetheless, hospitals should strive to understand the connection between patient satisfaction and employee retention in healthcare to create a better working environment for both.
How Did We Get Here?
If your healthcare organization is experiencing high turnover rates among clinicians and front-line staff, you’re not alone. On average, hospitals saw a 6.4% increase in overall employee turnover and an 8.4% increase in staff nurse turnover between 2020 and 2021, according to a report from Nursing Solutions, inc. While this rate decreased slightly in 2022, it still has not returned to pre-pandemic levels.
While it can be assumed that poor working conditions, fear of infection, and staff burnout due to the pandemic were all factors in this spike, it’s possible that decreased patient satisfaction in healthcare played an even bigger role.
Many standard practices had to be adjusted or held during the pandemic due to safety protocols, increased capacity, and staffing shortages. While necessary for the healthcare system to handle the pandemic, these changes may have hurt patient satisfaction ratings as they likely felt like they had less control over their care.
And who takes the brunt of the complaints when patients are unhappy? Front-line healthcare employees. The same employees who were already overworked and dealing with the stress of the pandemic.
Where to Start: Employee or Patient Satisfaction in Healthcare?
Research is now showing a strong correlation between patient satisfaction and employee retention in healthcare. But this is a two-way street, and it can be difficult to determine if decreased employee satisfaction in healthcare negatively impacts patient satisfaction or the other way around.
When considering which area to address first - employee or patient satisfaction in healthcare - it’s important to consider the following:
- The employee’s working environment necessarily includes the patient experience.
- Employee satisfaction can be more difficult to improve in the short term.
- Patient satisfaction in healthcare is the responsibility of the entire organization.
Let’s explore each of these propositions in turn.
The employee’s working environment necessarily includes the patient experience.
Most healthcare workers went into this field to care for those in need. They are less likely to switch jobs despite slightly lower salaries and increased workloads compared to corporate positions. Often, all they really ask in return is a thank you or other sign that their work is meaningful. This appreciation can sometimes come from an employer in the form of recognition, bonuses, or promotions. However, employer appreciation is not what healthcare employees truly crave and won’t keep them at your organization forever.
Ultimately, employee retention in healthcare boils down to appreciation directly from the ones they serve: the patients.
These are the people they show up for every day, and these are the people they need to feel a connection with to stay motivated. A friendly gesture, smile, or thank you from a patient can greatly make healthcare employees feel valued and appreciated.
Therefore, if you want to improve employee retention rates, you should focus on patient satisfaction in your healthcare organization. Improving patient satisfaction will go a long way in making employees feel appreciated and connected to their work, resulting in higher retention rates.
Employee satisfaction can be more difficult to improve in the short term.
Healthcare organizations have been trying to address employee burnout and stress over the past two years, but it’s not always easy to do this in the short term. Many external factors can contribute to low morale, such as constant changes in coverage, staffing shortages, and limited resources.
To make significant changes that would improve employee satisfaction, healthcare organizations must address the systemic issues that cause stress among staff. However, these issues are often out of an employer’s control, making it difficult to make immediate changes. For example, as much as the administration would probably love to support additional programs and services for patients, a lack of payor source reimbursement can make this difficult. In addition, the facility may not have the resources to hire extra staff or offer better benefits packages.
Many of the underlying issues impacting employee satisfaction can take a while to resolve and entail complex negotiations between various stakeholders. Therefore, patient satisfaction is likely the best place to start if your organization wants to see short-term improvements in employee retention in healthcare.
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Patient satisfaction in healthcare is the responsibility of the entire organization.
It’s important to note that patient satisfaction in healthcare is not just a job for physicians and nurses; it’s everyone’s responsibility. From the front desk receptionists to the janitorial staff, each person working within a healthcare organization plays a role in creating an overall positive atmosphere. If patients feel truly valued and their concerns are heard, then employees can benefit from this sense of appreciation as well.
This reduces the burden and reliance on any one employee to make a meaningful change. A patient can still have a positive experience in your hospital system despite any individual employee’s level of burnout, skill, or experience.
As the pandemic continues to impact the healthcare industry, it’s important to remember that the road to recovery for employees will not be a quick one. Therefore, any initiatives aimed at improving employee retention in healthcare must be systemic rather than individual. Healthcare workers are not only dealing with the emotional impact of loss and grief but also navigating a healthcare system that looks drastically different than it did just a few years ago. The key to supporting these employees is to improve patient satisfaction systemically and, consequently, their work environment. By taking a proactive approach, healthcare employers can help their employees feel valued and improve employee retention in healthcare.
Why Focus on Patient Satisfaction to Improve Employee Retention in Healthcare?
Employee retention in healthcare is significantly related to patient satisfaction. When patients are happy, employees feel appreciated and connected to their work. Improved patient satisfaction in healthcare increases morale, reduces turnover rates, and improves job performance among existing staff. Therefore, if you want to improve employee retention in healthcare in your organization and across the industry, it’s time to start focusing on the patient. This can be accomplished through:
- Increased transparency of care strategies
- Improved communication between care team members
- Low staff-to-patient ratios
- Improving the physical environment
- Decreasing wait times
- Coordinating care across settings
- Ensuring follow-up care is set up before discharge
By providing a positive experience, you’ll create an environment that staff members will want to stay in and be proud of. If you focus on creating a customer-centric approach and prioritize patient satisfaction in healthcare, your organization will reap the rewards of increased employee retention rates for years to come.
Looking for more resources for healthcare hiring? Check out the iHire Resource Center. With industry-specific resources filled with job postings, advice, and more, you’re sure to find what you need here at iHire.
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