Nurse Residency Program: Cost Containment Strategy

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Nurse Residency Program: Cost Containment Strategy As healthcare continues to grow, so does the number of healthcare providers entering the profession. It is evident and proven that nursing is the largest profession in the healthcare field. Therefore, many healthcare dollars are geared towards employing nurses to ensure that patients are receiving the care they need. However, as the number of new graduate nurses (NGRN) continues to grow, the number of nurses retiring or leaving the field altogether, is also increasing. Zinn, Guglielmi, Davis, and Moses (2012) reviewed a sample survey taken by registered nurses (RNs) in 2004 and determined that 55% of RNs intend to retire between 2011 and 2020, which deepens the need for new graduate nurses …show more content…
Not only is it cost effective, it is also dynamic in addressing the needs of the hospital and the NGRN. Hospitals that implemented the program have seen and experienced a drastic increase in retention and a drastic decrease in turnover. This also resulted in a reduction of contract labor usage and overtime, which is an additional cost the hospital has to pay for in order to address the nurse shortage rate. Trepanier et al. (2012) analyzed the results of a study that was done and found that in 12 months of starting the nurse residency program, turnover rates went from 36.08% to 6.41%. The rate of retention has been as high as 100% in a one-year time span (Hillman & Foster, 2011). Letourneau and Fater (2015) stated that NGRNs that have participated in the residency program reported being more confident in their skills and …show more content…
According to Marrero (2015), BHSF has had more than 1,100 nurses complete the residency program since it began in 2007. Marrero (2015) also stated that the program offers nursing graduates all of the resources they need to be successful in their transition. The program offers supportive mentoring, coaching, learning, clinical, and leadership skills (Marrero, 2015). South Florida Hospital News (2009) wrote a post about PBGMC partnering with Versant RN Residency to incorporate a nurse residency program at their facility. The hospital was also experiencing high turnover rates and high vacancy rates with their nursing shortage. They have now found employee retention rate to be greater than 90% within the first year and 80% during the second

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