
RN Julie Guardalabene checks in on Walter Whitenack on Thursday at Mercy San Juan Medical Center’s new patient-care wing.
The gleaming new tower at Mercy San Juan Medical Center bustles with patients, nurses and doctors. Mercy plans to use its private rooms and airy lobbies as selling points in the competition for patients.
Opened a month ago, Mercy’s tower was cited in a recent report ranking Sacramento as the nation’s fastest growing market for health care jobs. The six-story project added 110 beds and nearly 200 new jobs to the hospital.
Despite some delays in construction projects, and even some layoffs, the health care industry has been a solid anchor for the region in a sea of job losses and sinking fortunes. Indeed, recession-battered workers have sought safe harbor by pursuing careers in high-demand health care specialties, such as radiology technology, physical therapy and nursing.
Already, the health care sector accounts for a fifth of the region’s payroll. About 120,000 people are employed by the industry, which pumped $33.5 billion into the regional economy in 2007, according to the Sacramento Metro Chamber of Commerce.
The region’s major health systems occupy four of the top six spots on the area’s list of biggest employers, with a combined work force of more than 30,000.
“It’s my view that outside of state government, the health care and bioscience industry is probably the most important industry sector to our region’s long-term economic stability,” said Matthew Mahood, chamber president and chief executive officer.
“The road to recovery is going to be a very slow process in this region. … But having an industry that can hold its own is progress,” Mahood said.
The industry’s high salaries buoy the rest of the economy. In 2007, according to the chamber, the average hospital worker earned nearly $68,000 a year, compared with the region’s average annual wage of $42,738.
Aging baby boomers, coupled with the region’s population growth, virtually guarantee that the demand for health services won’t diminish.
Proposed federal health care legislation could also increase the demand for medical care if more uninsured people wind up being covered.
“People will always have a need for a hospital,” said Brian Ivie, president of Mercy San Juan. One area that had seen declines – admissions for elective surgeries – is starting to recover, he said, adding, “People are starting to schedule those things that they were putting off.”
During the 12-month period ending in November 2009, the health and education category was the only sector to add jobs to the Sacramento-area economy, contributing 2,800 new positions – which outpaced the San Francisco Bay Area and accounted for about 14 percent of the state’s total in new health care jobs, according to the Sacramento-based Center for Strategic Economic Research.
“Throughout the recession, the health care sector has been providing jobs when every other sector has been losing jobs,” said center director Ryan Sharp.
With the Sacramento area’s population expected to add a million residents over the next two decades, job growth will be “tremendous,” according to Anette Smith-Dohring, work force development manager for Sutter Health’s Sacramento Sierra Region.
David Cherner, managing partner of Health Workforce Solutions, the San Francisco-based labor analysis firm that ranked Sacramento first for potential growth among 30 metropolitan areas, sees “a definite strengthening” in the region.
“The near-term demand for health care workers in Sacramento improved much more aggressively than in other markets in the country,” Cherner said. “We view this as very positive news for Sacramento moving forward into 2010.”
At Sutter Health, more than 300 jobs need to be filled right now in its capital region facilities. As the economy recovers, thousands more jobs will become available to job seekers, Smith-Dohring said.
Every two weeks, between 50 and 70 new employees are hired by the Sutter health care system. “Now is the time to work on a health care career,” Smith-Dohring said.
Indeed, many people are following her advice.
Los Rios Community College officials say demand exceeds the number of spaces available for nursing and more than a dozen other health care programs.
Combined, the American River and Sacramento City college campuses have 800 students enrolled in health care programs, according to community college officials.
Mark Williamson, 38, went through careers in media production and computer support before deciding five years ago to pursue a career as a radiologic technologist, a job that involves taking X-rays and doing other types of imaging.
The computer industry was already hurting, he said, when he took the leap.
“It sounded promising. It sounded like a secure job for the future,” said Williamson, who completed his program at Yuba Community College’s radiology program in Sacramento a little more than a year ago.
The starting salary for a radiology technologist is $65,000. After five years of experience and training in more advanced technologies, such as magnetic resonance imaging, salaries can quickly escalate to $100,000 and beyond.
The high demand makes the job nearly recession-proof.
“It was good timing for me, for sure,” Williamson said.
His boss, Tony Campos, the operations supervisor for diagnostic imaging at Sutter Medical Center Sacramento, has a staff of nearly 60 and expects to hire an additional 20 over the next two years as Sutter Health completes a major expansion at its medical complex on 28th and L streets in midtown Sacramento.
“Our department is going to need a whole lot of techs to work the rooms we’re putting in,” he said.
Certainly, hospitals haven’t been immune to the faltering economy. With increasing worry over personal finances, fewer people scheduled elective surgery. That meant empty hospital beds and lower revenues. As a result, major projects were delayed, including plans by Sutter Health to build an ambulatory care facility and hospital in Elk Grove.
Because of uncertainty over pensions and other investments, older nurses delayed retirement – resulting in fewer job openings and increased frustration for nursing school graduates.
The tighter job market prompted Julie Guardalabene, 25, a registered nurse, to think hard before deciding to return to California with her fiancé after a few years in Portland, Ore.
To Guardalabene’s surprise, she quickly found a job – at Mercy San Juan’s new tower. But her fiancé, R.J. Cervantes, had to temporarily settle for a job at an area casino while he looks for a post in government or as a political staffer. “It’s been rougher for him,” Guardalabene said.
Robust population growth and healthy competition among the area’s four largest health systems – Kaiser Permanente, Sutter Health, UC Davis Health Systems and Catholic Healthcare West’s Mercy hospitals – have produced a surge of construction projects.
At UC Davis Medical Center, a $450 million surgery and emergency services pavilion, which was to have been completed last year, is expected to be finished in late summer – about nine months behind schedule. More than 300 construction workers are swarming the 143-acre campus.
Last year, Kaiser Permanente opened its Women’s and Children’s Center in Roseville, and it is continuing work to expand its south Sacramento hospital.
Officials at Kaiser, which laid off more than 1,000 employees statewide last year because of falling enrollments, declined to be interviewed.
While few new jobs will be created by Sutter’s expansion of its midtown medical center, a wave of retirements will open up hundreds of positions – amounting to as much as 30 percent of its Sacramento work force when the project is completed by 2012.
Filling those jobs will “be very challenging for us, but we are planning for it,” Smith-Dohring said.
Looking down the road, Sutter sees a need for a new hospital in Elk Grove, but planning has been pushed back, said Nancy Turner, a spokeswoman for the health system.
Sutter also would like to break ground soon on an ambulatory care center in Elk Grove, but there, too, the economy has delayed plans.
“We are still very much committed to this project; unfortunately, we are not able to keep to the original timeline because of the downturn in the economy,” Turner said. “We will continue to move forward so that when the market turns we can be absolutely ready to move forward with construction.”

Mark Williamson, a radiologic technologist at Sutter General Hospital, prepares to X-ray Terrance Randle’s sore ankle. Williamson, 38, changed careers five years ago and says he made the right choice.

Mercy San Juan Medical Center opened a new patient tower in December, adding 110 beds and nearly
200 new jobs, while a recent report ranks Sacramento as the fastest-growing market for health care jobs.
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