Abstract

The health care system, and hospitals, underwent considerable restructuring and downsizing in the early to mid-1900s in several countries as governments cut costs to reduce their budget deficits. Studies of the effects of these efforts on nursing staff and hospital functioning in various countries generally reported negative impacts. Health care restructuring and hospital downsizing was again being implemented in North America in 2009/2010 as governments struggled to once again reduce deficits at a time of worldwide economic recession. This study examines the relationship of downsizing and restructuring efforts with work and well-being outcomes. Data were collected from over 289 nursing staff working in California hospitals in 2009/2010. This research considers the relationship of number of hospital restructuring initiatives reported by nursing staff with indicators of their work satisfaction and psychological well-being and their perceptions of the impact of these initiatives on aspects of hospital performance. Nurses reported a relatively large number of restructuring and downsizing initiatives during the preceding year. Consistent with findings reported over 15 years ago, nursing staff reporting a greater number of restructuring and downsizing initiatives indicated less favorable work and well-being outcomes and more negative effects on hospital functioning. Some suggestions for more successful approaches to cost reductions are offered.

Highlights

  • The health care system, and hospitals, underwent considerable restructuring and downsizing in the early to mid-1900s in several countries as governments cut costs to reduce their budget deficits

  • Several studies were undertaken in various countries to determine the effects of hospital restructuring and downsizing on nursing staff –the largest group of employees in health care, patient care –again nurses playing a large role in patient contact, and hospital functioning and performance

  • The present study examines the relationship of hospital restructuring initiatives in 2009/2010 with a variety of individual and unit/hospital outcomes in a sample of nursing staff working in health care settings undergoing significant restructuring and downsizing

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Summary

Introduction

The health care system, and hospitals, underwent considerable restructuring and downsizing in the early to mid-1900s in several countries as governments cut costs to reduce their budget deficits. Consistent with findings reported over 15 years ago, nursing staff reporting a greater number of restructuring and downsizing initiatives indicated less favorable work and well-being outcomes and more negative effects on hospital functioning. Nurses are the largest group of employees in the health care system and play an important hands-on role in the delivery of high quality patient care (Aiken, Smith & Lake, 1994; Institute of Medicine, 2004).research studies conducted in a number of countries over the past 20 years indicate that nurses are increasingly reporting job dissatisfaction and young women and men are less interested in training to become nursing staff (Aiken, Clarke, Sloane & Sochalski, 2001). Almost two decades later, the health care sector is again the target of restructuring, downsizing and cost cutting as governments attempt to deal with

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