AUSTIN (KXAN) — The federal government will require home healthcare companies to pay workers more.
The “Ensuring Access to Medicaid Services” rule, finalized by the U.S. Department of Health and Human Services this week, requires at least 80% of Medicaid payments for home care services go to workers’ wages, as opposed to administrative overhead or other costs.
According to the White House announcement on Monday, more than seven million seniors and people with disabilities rely on home and community-based services (HCBS), often funded by Medicaid, to provide this type of long-term care in their own homes and communities. The White House cited a study showing higher wages will likely reduce turnover and lead to a higher quality of care for people receiving these services.
The requirement was finalized alongside another new rule creating a nationwide minimum staffing standard for skilled nursing facilities for the first time ever.