The national turnover rate for nurses reached an all-time high of 18.7% in 2021 – a new record virtually no one wanted to set. The “mass exodus” of nurses and other clinicians marches on as one of the most pressing challenges for hospitals and health systems today. It is harder and more expensive than ever to fill open roles – by a lot. Research shows hospitals are paying $24 billion more for labor than they were before the pandemic began.
Resolving your workforce challenges and setting the stage for improved fill rates at lower costs won’t happen naturally. It will require your hospital or health system to reassess how you source clinicians and manage your workforce.
To help spur solution-focused, strategic thinking, The 2022 Outlook for Healthcare Workforce Management offers expert guidance and analysis. The report, from Hallmark Health Care Solutions, answers important questions to lift the curtain on what it will take to lay the foundation for improved workforce strategy, performance, and outcomes in 2022 – including reduced labor spend, fewer vacancies, and better patient outcomes.
With input from subject matter experts and industry leaders, the 2022 Outlook report takes an in-depth exploration of the labor and workforce trends, issues, and questions that healthcare organizations will confront throughout 2022. Here are five key takeaways to start thinking and talking about right now:
Hospitals and health systems that will excel at attracting nurses and filling open roles are those that offer what nurses really want – which goes beyond competitive pay rates and benefits. Healthcare organizations need to reassess their underlying employment models. Today, agencies are successfully recruiting nurses out of core employment by offering what nurses are looking for: employment models that offer greater flexibility and control over their own work schedules.
Even nurses who never considered agency work before now see the benefits and appeal of this model. While some will go back to traditional work eventually, many will not. As a result, high vacancy rates, high agency usage, and higher pay rates will continue. Employers and hiring managers need to embrace this new approach to workforce models and build a strategy around it.
Building out new employment models is the first step. The second is integrating those models into a tiered workforce strategy that enables your organization to source labor from lower cost (but still high-quality) resources first,beforeresorting to more expensive agency staff.
If your organization is regularly turning to the most expensive options, like travelers, right away because a severely limited resource pool leaves you no choice, then you will welcome this news:
It doesn’t have to be that way – you do have other options. In fact, embracing the need for new workforce strategies and technologies sooner than later can bring you competitive recruiting advantages in addition to better savings and outcomes.
Reliable, data-driven strategy is key. To create a successful multi-tiered workforce strategy, you need the right insight and expertise, and a proven process for marrying your workforce models with your larger organizational goals. Additionally, you need the ability to predict upcoming needs by analyzing historical data in conjunction with changing market conditions.
That starts with a self-assessment driven by high-quality analytics. Your workforce technology will play a critical role here. You need a platform that can deliver next-generation analytics and reporting while simultaneously facilitating implementation and management of new, nurse-friendly employment models. Look for technology that can align workforce self-assessment with strategy through predictive analytics that also help illuminate better ways to manage labor utilization and spend.
Turning these takeaways into action.
These three points are important but just the tip of the iceberg. The 2022 Outlook report looks at other questions including:
- Will labor spend begin to normalize in 2022?
- How can your hospital or health system begin to reduce use of agency and travel nurses in 2022?
- What kind of employment model(s) will best attract nurses in 2022?
- What’s the first step needed to prime the nursing/clinical workforce for success in 2022?
- What investments does your healthcare organization need to make to better prepare for 2022?
- What are the three specific action steps every healthcare organization should take today?
Explore these answers and more. Download the full report.
Many thanks to the esteemed contributors of the 2022 Outlook report for lending their vast experience and expertise:
- Brandon Chamberland, Sr. VP of Product and Partnerships at Hallmark Health Care Solutions
- Chris Cotteleer, Managing Director and CIO at C5Gt
- Marc Fucci, Owner and Founder of MCF Strategies
- Alan McIver, Healthcare Business Advisor for Hallmark Health Care Solutions
- William Reau, COO and Principal at Hallmark Health Care Solutions
- Matthew Thompson, Senior Director at Huron Consulting Group
