ROCHESTER — Mayo Clinic announced a 2% salary raise for 2022 with a 2.75 multiplier, which is less than many companies are offering in the face of staff shortages and rising inflation.
Employees were notified of the annual salary increase via a message from CEO Gianrico Farrugia and Chief Administrative Officer Christina Zorn. Mayo Clinic has about 73,000 employees at all of its campuses; about 39,000 work in the Rochester area.
The salary adjustment is going to “eligible consulting and allied health staff,” according to the internal message. The raises will be effective March 16 and will show up in employees’ paychecks on April 5.
This raise is the same amount as the one Mayo Clinic instituted in pre-pandemic 2020 .
Mayo Clinic’s overall revenue has grown throughout the pandemic with a revenue of $4.01 billion in the third quarter of 2021. That was 18.2% higher than $3.39 billion the same pre-pandemic quarter in 2019.
ADVERTISEMENT
Mayo Clinic’s 2022 raises don’t follow a reported national trend of wage increases of more than 3%.
A survey of 240 companies by The Conference Board, an international business research group, found they were providing an average raise of 3.9% for 2022. A survey of 1,004 companies by Willis Towers Watson, another research firm, found an average raise of 3.4% for 2022.
Companies in the two surveys cited the tight labor market and inflation for the raises.
The salary of Mayo Clinic CEO Gianrico Farrugia, increased by 45 percent from $1.19 million in 2018 to $2.77 million in 2019.
Farrugia was promoted from being in charge of Mayo Clinic’s Florida campus in 2018 to being the organization’s overall CEO in 2019. This salary data is the most recent available from annual 990 IRS filings.
Jeff Kiger tracks business action in Rochester and southeastern Minnesota every day in "Heard on the Street." Send tips to jkiger@postbulletin.com or via Twitter to @whereskiger . You can call him at 507-285-7798.
