Job cuts may create opportunities for healthcare staffing firms and contractors
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The last few years have created a sluggish economy which has driven hospitals nationally to make payment cuts and reduce employed healthcare staff. Reducing the healthcare staff has become a prominent means of stabilizing bottom lines for many hospitals. The Bureau of Labor Statistics has reported that in August of 2011, thirteen hospitals endured what are defined as mass layoffs involving at least fifty employees.
These massive layoffs have resulted in over one thousand unemployment benefit claims. With the layoff pace continuing for hospitals, “the demand for contracted personnel will likely continue to increase”, says Romani Perera, director of recruiting operations for Recruit Hospital Executives.com, a healthcare staffing firm that supplies both interim and permanent healthcare personnel. 2011 resulted in almost one hundred and thirty mass layoffs which involved nearly ten thousand people. This made 2011 the third-highest mass layoffs in the last ten years.
The trend has continued for health systems and hospitals across the US as they announce more mass layoffs. “As the hospital’s demand for workers increase, they will be more likely to bring on more hospital staff on a contract basis before filling fulltime slots,” says Perera. The Inova Health System out of Virginia announced that it would cut just over six hundred employees and outsource referral management, laundry, environmental services, and scheduling which will move the jobs to the contracted companies doing the work.
It is anticipated that over the course of the next decade, two percent of the health care jobs across the nation will be cut, resulting in nearly one hundred thousand job losses and severe budget cuts. Since there is no indication that the need for healthcare has decreased, this will create opportunity for contract workers and medical staffing firms to offer needed personnel to meet the steady demand for healthcare services.
Rollis Fontenot III, President
Recruit Hospital Executives.com
Office: 888-974-4473 (HIRE)
Fax: 800-789-7430
rollis@recruithospitalexecutives.com
Linkedin.com/in/RollisFontenot
Facebook.com/recruithospitalexecutives
