Healthcare Staffing Market

Healthcare Staffing Market Size (2023 to 2028)

The global healthcare staffing market size is estimated to grow at a CAGR of 6.24% from 2023 to 2028 and be worth USD 47.4 billion by 2028 from USD 35.02 billion in 2023.

Healthcare staffing refers to a company, person, partnership, organization, or other business entity that provides temporary nursing services to healthcare agencies or individuals. Recruiting healthcare personnel is a lengthy process in and of itself. As a result, these healthcare facilities contact healthcare staffing companies to find the experts they need. Several agencies provide healthcare professionals, such as nurses and therapists, to healthcare organizations, such as hospitals or nursing home facilities. Healthcare providers can concentrate on other things with the help of these healthcare staffing firms. Hospitals, home care providers, nursing homes, clinics, physician practices, government agencies, pharmacy firms, colleges, and healthcare tech firms also use healthcare staffing services.

MARKET DRIVERS:

The shortage of healthcare workers majorly drives the global healthcare staffing market growth.

A shortage of healthcare workers primarily drives the healthcare staffing sector. With the demand for high-quality healthcare, providers struggle to keep up with the increasing staff demand. Both caregivers and nurses are in short supply, and along with this medical lab staff and home healthcare, workers are also in short supply, affecting every part of the healthcare system. The World Health Organization (WHO) released the World's nursing (SOWN) 2 studies in 2020, which reported a global shortage of 5.9 million nurses. According to the National Association of Locum Tenens Organizations, over 50,000 physicians (over 5% of all doctors) work locum tenens assignments each year, and 90% of US healthcare facilities employ locum tenens physicians every year. Also, according to the American Association of Medical Colleges (AAMC), a shortage of “between 42,600 and 121,300 clinicians by the end of the next decade” is expected by 2030. Similarly, the World Health Organization predicts an 18 million deficit in health workers by 2030, mostly in low- and lower-middle-income countries. As a result of this growing demand, the healthcare staffing market is expanding.

The patient satisfaction approach drives the healthcare staffing market even further.

Healthcare staffing is also driven by healthcare providers' increased focus on patient satisfaction. In hospitals and healthcare services, patient satisfaction is crucial. According to the HealthLeaders Media Industry Survey, patient satisfaction is among the top three priorities for over half of healthcare executives (54 %). Also, increased patient satisfaction is needed due to value-based reimbursements, changing patient-centered care models, and competition from other hospitals. The healthcare workforce largely determines these patient treatment experiences. Many studies have linked nurse-to-patient ratios and differences in nurse staffing and scheduling to patient satisfaction, implying that filling nursing staff positions quickly and with qualified applicants is critical. The efficacy of care also influences patient satisfaction. Patient satisfaction rises as doctors are knowledgeable in the field and function with empathy. In addition, highly pleased patients help to grow the company by referring others. With the advent of social media, hospitals can improve their reputation among current patients while also attracting new ones. As a result, hospitals must have the necessary personnel, increasing the healthcare staffing sector.

MARKET RESTRAINTS:

The healthcare staffing sector, on the other hand, could be constrained by a skills shortage. There are several open positions in the healthcare field all over the world. Healthcare facilities need qualified practitioners due to technological advancements and the transition from inpatient to outpatient care. Unfortunately, there isn't enough talent available to fill these positions. As a result, growth in the healthcare staffing market has slowed.

MARKET OPPORTUNITIES:

The travel nurse trend provided a growth opportunity for the healthcare staffing market.

The rising demand for travel nurses would provide opportunities for the healthcare staffing sector to expand. Many hospitals are experiencing a shortage of nurse professionals; thus, travel nurses have become popular because they can work temporarily as needed. Similarly, as long as healthcare facilities and hospitals need personnel, travel nursing and other temporary work will remain popular. Travel nursing also has many advantages and incentives, including competitive pay, flexible scheduling opportunities, job experience, professional development, continuing education, and more. As a result, the travel nurse offers opportunities for advancement in the healthcare staffing sector in the near future.

Impact of COVID-19 on the global healthcare staffing market:

The COVID-19 pandemic boosts the demand for healthcare staffing. Covid-19 infections have disrupted the healthcare sector since 2019. Over 168 million coronavirus cases had been discovered worldwide as of May 25, 2021. This number is growing daily, necessitating more healthcare workers to support these patients. Hospitals, nursing homes, and other healthcare providers faced an immediate need for extra support and backup personnel due to COVID-19, and healthcare staffing had to get creative to satisfy this demand. As a result of this covid-19 situation, the healthcare staffing industry is experiencing tremendous growth.  As the COVID-19 pandemic progresses, there will undoubtedly be staffing shortages due to HCP exposures, sickness, or the need to care for family members at home.

Many industries changed as a result of Covid – 19. To cope with lockdown and social distancing, the need for telemedicine, video conferencing, and interviewing has increased. This demand emphasizes the importance of recruiting professionals who possess the tools and skills necessary to effectively video screen patients. Also, instead of looking for new employees, several healthcare organizations reach out to credentialed practitioners who have been out of work for a while. Not only physicians but also nurses are in demand due to covid-19 pandemic. According to Epic Health Research Network, COVID-19 nurse staffing demand increased by 245 %, or about 50,000 nurses, from September 2020 to December 2020. For hospitals in metropolitan and rural areas, COVID-19 nurse staffing demand was higher. Furthermore, as the demand for coronavirus tests grows, clinical laboratories need more technologists and lab scientists with the necessary certifications, expertise, and experience to perform these complex assays.

REPORT COVERAGE:

This research report on the global healthcare staffing market has been segmented and sub-segmented based on service type and region.

Healthcare Staffing Market - By Service Type:

• Travel Nurse Staffing
• Per Diem Nurse Staffing
• Locum Tenens Staffing
• Allied Healthcare Staffing

Based on Service Type, Allied Healthcare staffing had the greatest market share. As the global frequency of chronic diseases and healthcare issues rises, so does the demand for allied health services.

During the forecast period, however, locum tenens are predicted to increase at the fastest pace. Employer cost reductions and physicians’ preference for locum tenens work are two reasons driving category growth. According to a survey by Staff Care, an AMN Healthcare organization, the number of locum tenens physicians in the United States is steadily growing. Locum tenens providers are used by healthcare institutions across the United States, and over 50,000 physicians work on locum tenens projects each year. Over the forecast period, the market will likely rise due to a rising number of physicians opting to work as locum tenens.

On the other hand, the travel nurse staffing segment is expected to be lucrative during the forecast period. Hospitals are compelled to downsize their personnel in response to growing healthcare expenses; therefore, they turn to staff firms to ensure that nurses are accessible when demands grow.

Healthcare Staffing Market - By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• The Middle East and Africa

Based on region, the global healthcare staffing market was controlled by North America, which had the greatest market share. This Regional market growth is fuelled by a shortage of skilled workers relative to demand, an increasing geriatric population, and the presence of important market competitors. Other factors projected to drive the growth of the healthcare staffing market in the area include well-developed healthcare infrastructure, favorable governmental regulations, and the availability of medical coverage on healthcare staffing. To increase their geographical reach and service offer, key players in this region are pursuing strategic initiatives such as mergers, acquisitions, and alliances. As a result, increasing market penetration is likely to boost regional market growth throughout the forecast period.

The Asia Pacific region has the largest market growth after North America. Rising demand for contract workforce, increased market investments, and a positive economic outlook are all factors contributing to this expansion. A rise in demand for contract employment in this region has been attributed to a number of advantages of contract staffing, including the absence of liabilities that are common with permanent hiring.

KEY MARKET PARTICIPANTS:

Some of the notable companies operating in the global healthcare staffing market are Adecco, AMN Healthcare, CHG Management, Syneos Health, TeamHealth (Blackstone), Accountable Healthcare Staffing, Aya Healthcare, InGenesis, Medical Solutions, Supplemental Health Care, EmCare, Almost Family, Cross Country Healthcare, Maxim Healthcare Services, Jackson Healthcare, Aureus Medical Group (C&A Industries), Favorite Healthcare Staffing, Healthcare Staffing Services, and Trustaff.

These players focus on mergers, acquisitions, partnerships, and launch strategies.

RECENT MARKET DEVELOPMENTS:

• 23 April 2021, GIFTED Healthcare has acquired Therapia Staffing, an award-winning healthcare staffing firm that offers per diem and travels nursing assignments across the United States. Medical and educational facility partners benefit from Therapia Staffing's contract nursing and related staffing, as well as permanent hire assistance.
• On 27 October 2020, Emerald Health Services, an Epic Staffing Group organization specializing in travel nursing and allied healthcare staffing, has collaborated with WorkLLama to create the Emerald EngageTM referral app for nurse and allied healthcare staffing. Emerald Health's traveling nurses and allied physicians (Travelers) may use the smartphone app to find and apply for positions, make recommendations, and access tools to help them enhance their travel experiences.