Almost nobody who lives in this region would question Carilion Clinic’s contribution to its economy, but now we have the numbers, released in a press conference today. The Clinic, which oversees nine hospitals and myriad other health care facilities, has an impact of $3.2 billion and 24,000 jobs in the most recent year those figures are available, 2018.
The information is the result of a study by Carilion and the University of Virginia’s Weldon Cooper Center for Public Service’s Center for Economic and Policy Studies.
Much of the impact is direct. Some isn’t. For example:
- Nearly $2.7 million in the local service industry, which includes spending on health care, education, entertainment and real estate.
- More than $155 million in trade revenue, which includes retail and wholesale business.
- More than $126 million in the transportation, information and public utilities (TIPU) industries.
Says CEO/President Nancy Agee, “This study provides a snapshot of our operations, and it’s encouraging to see the ripple effect that extends far beyond our walls.” The study finds that for every ten Carilion jobs, another eight jobs are created in the Virginia.
The clinic is the largest private employer west of Richmond, providing care to more than a million people. In 2018, it employed 13,317 people and had contracts with another 4,106. Household spending by those employees created another estimated 6,296 jobs.
The impact information follows several major announcements by Carilion, including plans to invest $1 billion system-wide over the next seven years. Projects include an expansion of its tertiary/quaternary care center, Carilion Roanoke Memorial Hospital, and the creation of a Carilion Children’s pediatric care facility at Tanglewood Mall.
While Carilion plans to spend $1 billion on bricks and mortar, the system will invest more than $6 billion in staff through payroll alone over the same time period. The average Carilion employee (excluding physicians) makes $56,000 per year in a region where the cost of living is low.
About the Writer:
Dan Smith is an award-winning Roanoke-based writer/author/photographer and a member of the Virginia Communications Hall of Fame (Class of 2010). His blog, fromtheeditr.com, is widely read and he has authored seven books, including the novel CLOG! He is founding editor of a Roanoke-based business magazine and a former Virginia Small Business Journalist of the Year (2005).
