Workforce Strategies: State Wage Pass-Through Legislation

A wage pass-through is an additional allocation of funds provided through Medicaid reimbursement for the express purpose of increasing compensation for direct-care workers. Twenty-one states have implemented these programs in expectation that doing so will help address the worker shortage. The purpose of this issue brief is to: describe the structure in selected states; summarize what is known about the impact of these programs on recruitment and retention; and identify key design elements.