Manage HR Magazine | Wednesday, May 31, 2023
A whole new labor market has opened up as health systems accept workers from across the country. Aside from shift coverage flexibility, healthcare professionals are increasingly demanding greater control over their schedules from unit managers. With this flexibility, clients can meet the growing demand for healthcare while filling gaps in their schedules.
Fremont, CA: Since the Covid-19 pandemic, the staffing industry has experienced intense change, and Staffing Industry Analysts' research can help us better understand the implications. Based on Barry Asin's keynote presentation at the 2023 Executive Forum North America conference, this article examines four changes shaping the future of the staffing industry, as well as some strategies and tactics for success.
Stay ahead of the industry with exclusive feature stories on the top companies, expert insights and the latest news delivered straight to your inbox. Subscribe today.
We have experienced a persistent shortage of talent due to a limited supply and robust demand. There have been 6.3 million more job openings than candidates seeking work as the economy has grown. In addition to retirements, an increase in the number of workers is contributing to the shortage. The labor force participation rate for adults age 65 and older is lower. In January 2023, the unemployment rate decreased from 20.7% to 19.3%. From 2010 to 2019, immigration fueled just shy of three-quarters of labor force growth. There were an estimated 1.8 million workers who did not join the US workforce as a result of the pandemic. As a result of the long-term demographic trend of an aging workforce - more retirees are expected than younger workers to enter the workforce - an ongoing talent shortage has resulted.
A "Workforce Solutions Buyer Survey" by SIA was conducted in 2022 to better understand what health systems and clients in other industries are doing to address the talent crisis. Seventy-one percent of buyers report increasing pay rates for contingent workers, while 57 percent change staffing vendors. As the pandemic emphasized the value staffing firms provide, especially when internal recruiters are struggling to fill needs, the current state of the economy presents significant opportunities for staffing firms to contribute to addressing the labor shortage.
A new openness to flexible work:
A whole new labor market has opened up as health systems accept workers from across the country. Aside from shift coverage flexibility, healthcare professionals are increasingly demanding greater control over their schedules from unit managers. With this flexibility, clients can meet the growing demand for healthcare while filling gaps in their schedules. Healthcare staffing has tripled since 2019, and in 2022 it will reach $64 billion, making it the largest segment of staffing, ahead of IT and industrial. In spite of the fact that the market will never return to its pre-pandemic state, SIA will be monitoring solutions that might prove beneficial to health systems, including collaboration with public schools and technological advances, and advocating for safe working conditions and mental health programs to reduce the burden on healthcare professionals.
More in News