Knowledge@Wharton August 13, 2024
The expansion of Medicaid under the Affordable Care Act poured billions of dollars into U.S. health care systems, allowing them to raise compensation for health care workers. Wharton research shows the benefits were not equally shared.
New research from Wharton finds that following Medicaid expansion, incomes stayed flat for the lowest-paid workers – health aides, orderlies, and sanitation workers. Meanwhile, the highest-paid workers — doctors, nurses, and managers — earned about 2.2% more per year.
The study reveals how hospital systems may be exacerbating income inequality because the lowest-paid health care workers are more likely to be minority women with limited bargaining power and numerous barriers to advancement.
“We know these are workers who are already marginalized, so health care...
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