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Costs and Benefits of a Wage Increase for Home Help Workers

June 1, 2006

Commissioned by the Michigan Quality Home Care Campaign, this report analyzes the costs and benefits for the state of Michigan associated with increasing wages for workers at its Home Help program. The authors hypothesize that spending an additional $30 million to increase wages will reduce turnover and improve care, thus attracting more clients to the program and reducing the need for more expensive nursing home care.

To see the original source, click here.

Key Takeaways

Increasing wages would help save money by diverting people from nursing homes.
Increasing wages would lead to improved quality of life and increased aging in place for consumers.
Overall, savings would surpass the expense of spending the additional $30 million on wages.

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