Comment by zharknado

Comment by zharknado a day ago

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The clearest example I’ve seen of this effect is with dental hygienists in the U.S.. Big labor crunch as lots of industry veterans left the labor force during COVID, wage and career growth prospects are weak vs. alternative options for newcomers, very difficult to automate in practical terms, and the way they produce revenue is usually per-procedure, with a ceiling largely fixed by insurance reimbursement rates, so the offices that employ them see a profitability issue when contemplating a raise.

Sounds like some other places use capitation to break the tight coupling between hourly productivity and profitability. Sounds interesting but politically very challenging. Would be interested to hear some perspective from consumers in e.g. the Nordics with experience.