By: Jay Feldman

The senior living industry is confronting a workforce crisis head-on with bold and decisive action. Despite employment levels rebounding to pre-pandemic numbers, staffing shortages remain a challenge that demands innovative solutions. These obstacles have persisted for years, but senior housing operators with vision and determination refuse to let them hinder growth or limit care for residents.

Under the leadership of Charles Swanson and Curtis Twilley, Scandia Retirement Community is taking control of the situation, introducing groundbreaking initiatives aimed at improving employee well-being, ensuring financial stability, and fostering long-term success.

Understanding the Workforce Shortage

Studies confirm that nearly every senior living facility in the United States—from independent living communities to community-based residential facilities (CBRFs)—faces critical workforce shortages. This stems from key factors such as:

• Shortage of Skilled Workers: Senior living leaders consistently highlight a lack of qualified candidates for open positions.
• Rising Housing Costs: Approximately 44% of senior housing employees report being unable to afford living within 10 miles of their workplace, resulting in commutes averaging over 40 minutes.

Scandia Launches the Workforce Crisis Initiative

Photo: Unsplash.com

In response to these challenges, Scandia Retirement Community has launched the Workforce Crisis Initiative, a comprehensive program urging senior housing operators to take proactive measures that prioritize employee well-being. This includes providing housing stipends for employees and opening an endowment fund with a bank similar to State Street Corporation to address the rising burdens employees face. From the fires in California to the challenges of everyday life, such a fund can collectively or individually meet the needs of employees.

An endowment fund also provides significant tax benefits for operators. Contributions to the fund are tax-deductible, and the fund’s earnings grow tax-free, allowing operators to build long-term resources to support employees in times of crisis or when they struggle to afford housing near their workplaces. By alleviating financial strain and improving access to resources, these measures strengthen the workforce and ensure a more stable, supportive environment for both employees and residents.

The initiative equips operators with innovative tools to reinvest in their workforce, elevate living conditions, and provide critical financial support. By leveraging strategic financing options and exploring new techniques, Scandia is demonstrating how bold leadership can solve complex problems.

Tackling Workforce Challenges Through Employee-Centered Solutions

Scandia’s initiative includes several transformative programs aimed at improving employee well-being and retention:

• Housing Allowances and Rental Stipends: Supporting employees by covering a portion of their housing costs to help them live closer to their workplaces.
• Bonuses and Financial Assistance: Providing resources for emergency expenses and student loan debt, reducing financial stress for employees.
• Boosting Job Satisfaction: Addressing burnout and improving employee retention through enhanced compensation and workplace support systems.

These solutions are more than just responses to staffing challenges; they reflect a commitment to creating a healthier, more stable environment for employees, residents, and the organization as a whole.

Overcoming  Quantitative Easing

The effects of broader economic policies, such as quantitative easing (QE), have added financial strain to senior housing employees. Rising real estate prices, fueled by QE, have made it increasingly difficult for employees to afford housing near their workplaces. Inflation has further eroded purchasing power, compounding these challenges.

By embracing innovative financing and asset management strategies, Scandia is offsetting these systemic challenges and empowering employees to thrive in a supportive environment.

Supporting Employees in Real-Time

Scandia’s commitment to its workforce is more than theoretical. Recently, Scandia provided immediate roadside assistance to an employee, Angel Studley, who was stranded due to car trouble. By acting swiftly and prioritizing employee well-being, Scandia demonstrated its dedication to creating tangible, real-world support for its team.

“We’ve all faced tough times in life,” Swanson says. “It’s essential to recognize and address the financial and personal challenges our employees encounter every day.”

I enjoy working at Scandia because the close-knit environment allows for meaningful connections with my coworkers and residents,” Angel explains. “The support I receive from management is incredible. Whether it’s navigating challenges like balancing work, personal life, or pursuing cosmetology school, or finding solutions to unique life situations, I know I can always rely on my team to have my back.”

Preparing for a Changing Financial Landscape

Scandia’s leadership is also exploring creative methods to increase liquidity and property valuations. By utilizing asset management strategies, such as traditional sales, 1031 exchanges, and reinvestment opportunities, operators can strengthen financial stability while reinvesting in their workforce.

Setting a New Standard

Scandia Retirement Community’s Workforce Crisis Initiative is setting a bold precedent for addressing staffing challenges while enhancing property valuations. By focusing on employee well-being, leveraging innovative financing, and implementing sustainable practices, Scandia is paving the way for a thriving senior housing industry.

“This is about more than solving a staffing shortage,” Swanson emphasizes. “It’s about redefining an industry to support its employees, elevate its services, and establish a gold standard for the future of senior living within a technological era.”

Published by Tom W.