Nurses and midwives pushing for a one-year 15 per cent pay rise have raised concerns about Novocastrians moving to Queensland for better pay, while Hunter hospitals struggle to get staff.
The NSW Nurses and Midwives' Association released a report on Friday, titled Escaping NSW Treasury's Curse.
It detailed how first-year nurses in Queensland earn a base rate of $82,753, while those in NSW earned $70,050.
Nurses in Queensland on the highest automatic grade earned $106,144, while those in NSW earned $98,351.
Hunter nurses rallied in the rain outside the women's State of Origin match on Thursday night to make their point about the pay disparity with Queensland.
Linda Mobbs, the union's John Hunter Hospital branch assistant secretary, said staff from every area of the hospital "know somebody who has left and gone to Queensland".
"Once they get settled there, we haven't got a lot of chance of getting them back," Ms Mobbs said.
"In Newcastle, we're building that great big addition to John Hunter. How are we going to staff it?"
Ms Mobbs said nurses were "working overtime all the time".
"Double shifts are pretty common. At John Hunter, the hospital is beyond full to capacity," she said.
"If the younger ones don't do overtime, they can't survive, they can't pay their rent."
She said better pay was needed in NSW "to keep attracting those young ones into the industry".
She said some areas of the hospital "don't have casuals any more because the casuals are all working full shifts".
"So when you're down staff, there's no one to call.
"Sometimes patients get cancelled because there aren't enough beds and that makes you feel really bad."
Ms Mobbs said it was "deflating when you go to work".
"The patients are always appreciative, but you can't do the best job for them," she said.
She said there were "probably massive increases in sick leave because people get to the point where they're stressed and worn out".
"You're going above and beyond. It all plays on your mental health."
The report makes the case for a 15 per cent pay rise, improvements to conditions and further funding for nurse-to-patient ratios.
Professor John Buchanan said inflation meant "the real pay of NSW nurses and midwives today is even lower than it was before the wage cap was introduced [in 2011]".
"In light of this, it is unsurprising the nursing labour market in NSW is under severe stress," said Professor Buchanan, who compiled the report.
The nurse association's assistant general secretary Michael Whaites said "our members' cost of living is at 2024 prices, but they're earning 2007 wages".
"They're working so hard to make ends meet, but the goalposts are racing away from them. It's time to make this right," Mr Whaites said.
The association's general secretary Shaye Candish said NSW nurses and midwives were "now the second worst paid in the country when starting their career".
"When compared to Queensland, new graduates are 18 per cent worse off, while the highest level registered nurses are 8 per cent behind on pay."
She added that public sector workers like teachers, paramedics and firefighters were "paid significantly more than entry level nurses and midwives".
"Their pay also lags behind almost all other professional and male dominated non-professional occupations."
NSW Health Minister Ryan Park said "as always, we will work closely and constructively with workers and their union".
"We are in the early stages of those discussions," Mr Park said.
"I will note that last year we abolished the wages cap and delivered the largest pay rise [4 per cent] for nurses and midwives in over a decade."