Advocate Health Announces Major Compensation Overhaul, Boosting Minimum Wage and Benefits Across Six States
In a significant move aimed at retaining and attracting talent in a competitive healthcare market, Advocate Health unveiled a sweeping compensation and benefits package this week. The initiative, totaling more than $800 million in new investments, directly impacts over 165,000 employees across its six-state footprint.
The Charlotte-based system is raising its minimum hourly wage from $17.50 to $18.85, effective with paychecks dated January 30. This adjustment, which surpasses local minimum wage laws in states including North Carolina, South Carolina, Georgia, Alabama, Illinois, and Wisconsin, applies to frontline roles such as environmental services technicians, food service assistants, and patient safety attendants.
"This isn't just a wage increase; it's a strategic investment in our team members who are the heart of our mission," said Nakesha Lopez, Executive Vice President and Chief People and Culture Officer at Advocate Health. "We're committed to ensuring consistent, competitive pay and comprehensive benefits that support our colleagues' whole well-being—financially, physically, and professionally."
The wage hike is part of a broader $776 million compensation package that also includes annual merit increases and pay-range adjustments. Separately, the company is allocating $40 million to enhance program benefits, introducing free virtual care and expanded support for mental health, women's health, and menopause care.
Beyond immediate pay, Advocate is sharply focusing on long-term career growth and financial wellness. All full- and part-time employees now have access to up to $5,250 annually for tuition reimbursement—a substantial increase from previous caps—covering over 1,300 academic programs, with nursing students eligible for $7,500. The system also reported its student loan repayment program helped more than 4,000 employees reduce collective debt by over $12 million last year.
In a newer benefit, starting this year, all employees will receive 12 hours of annual paid time off specifically for local volunteer work.
Background & Context: Advocate Health was formed in December 2022 through the merger of Atrium Health and Advocate Aurora Health. It now operates 69 hospitals and over 1,000 care locations, serving 6 million patients annually. The system has steadily raised its starting wage since 2022, noting that a full-time employee at its new minimum now earns at least $24,000 more annually than someone earning the federal minimum wage. Its academic partnership with Wake Forest University recently culminated in the opening of the Wake Forest University School of Medicine–Charlotte, the city's first four-year medical school.
Industry Impact: This large-scale investment sets a new benchmark for employee compensation in the nonprofit healthcare sector, particularly in the Southeast and Midwest. It comes amid ongoing industry pressures like staffing shortages and rising operational costs, signaling that major systems may use robust benefits packages as a key tool for stabilization and growth.
Voices from the Community
Michael Rodriguez, Nursing Student & Advocate Health Aide, Charlotte: "The increased tuition assistance is a game-changer for me. It reduces the financial stress of pursuing my degree and makes me feel valued as a future nurse. This kind of support encourages people to build careers here."
David Chen, Health Policy Analyst, Raleigh: "While this is a positive step, it's also a necessary one. Healthcare systems are in a fierce battle for clinical and support staff. Advocate's move raises the floor for wages in the region, which could pressure other employers to follow suit. The true test will be sustainability and whether it improves patient care outcomes."
Sarah Jenkins, Former Patient Care Technician, Greensboro: "Finally, some recognition for the essential but often invisible workers! But let's be real—this should have happened years ago. The cost of living has skyrocketed. While $18.85 is better, in many of their markets, it's still a struggle wage. This feels more like catching up than leading."
Rev. James Miller, Community Liaison, Winston-Salem: "The paid volunteer time off is an innovative and commendable benefit. It strengthens the bond between the health system and the communities it serves, encouraging employees to contribute beyond hospital walls. This holistic approach to employee welfare is noteworthy."