Economic Contributors

In 2008, America's hospitals treated 123 million people in their emergency departments, provided care for 624 million outpatients, performed 27 million surgeries, and delivered 4 million babies.  However, the importance of hospitals to their communities extends far beyond health care. 

The Hospital Association of Rhode Island recently released its annual economic impact report, which details $6.7 billion in economic contributions. Hospitals are a major economic engine in the state; employing 21,100 health care professionals; paying $1.9 billion in wages; and spending more than $1.3 billion on goods and services.

A recent University of Florida study, commissioned by the Florida Hospital Association, suggests that the state’s hospitals support nearly 930,000 full- and part-time jobs, while generating $120 billion in economic activity.

Michigan hospitals are economic engines, directly employing nearly 219,000 individuals throughout the state and often serving as the largest employer in their communities. They are saving individuals and businesses more than $500 million in health care costs annually by operating as efficiently as possible.

According to a recent economic impact study, Elizabethtown Community Hospital's influence reaches far beyond the realm of medical services. During the 2010 cost-report year, ECH employed 220 people in various capacities, resulting in a payroll of $10,278,000. The survey indicated that these employees spent $5,093,000 locally. During the 2010 reporting year, ECH supply purchases totaled $6,578,000 and capital spending amounted to $1,927,000, a total impact of $23,876,000. In addition to the goods purchased, sales taxes affected economies by providing the state with $424,000, and locally $439,000 was realized.

Auburn Community Hospital plays a critical role in the economic viability of its community. From the people it employs to the direct and indirect effects of spending, its value as an economic engine for the local community is considerable. In 2010, the hospital employed 760 people, with a total payroll of $56,983,000. Dollars earned by these employees are spent on groceries, clothing, mortgage payments, rent, etc., which generate approximately $103,845,000 in economic activity for the local economy. Auburn Community Hospital payroll expenditures serve as an important economic stimulus, creating and supporting jobs throughout the local and state economies.

Delaware's hospitals have a tremendous impact on the health care and economy of the state, representing an impressive employment base and a key economic contributor.  Delaware hospitals employed a combined total of 20,458 people and in FY 2011 had expenditures of just over $1.2 billion in annual payroll.

A recent study by the Kansas Hospital Association shows that health care services employed 226,333 people, or 12%, of all job holders in the state. The health sector plays an important direct role in the state's economy - with health care services being the fourth-largest aggregate employer in the state and the fifth-largest producer of total income

Seven of Ohio's top 12 employers are hospitals or health systems. Additionally, Ohio hospitals invest in new information technology, equipment and facilities, which translates to every dollar spent by hospitals generating an additional $1.23 in the state's economy.

According to the Bureau of Labor Statistics, hospitals added more than 81,000 private sector jobs across the nation over the past year. Health care is responsible for one in six new jobs and, despite the economy, health care employs 24% more people than it did 10 years ago.

In 2011, America's hospitals employed more than 5.4 million people.

New Jersey's acute care hospitals are responsible for providing more than 114,000 full-time equivalent jobs and total employment of 140,000 full-time and part-time positions.

Community hospitals in New Mexico  employ more than 28,177 people. Additionally, another 57,115 jobs are created due to hospitals, with the total employment impact being 85,292 jobs.

The health care field added 26,000 jobs per month this year, with hospitals adding 8,000 jobs just in the month of November.

Parkland Health and Hospital System plays a critical role in the vitality of the community through its support of those who have no resources for health care services. In addition, Parkland employees 9,300 people.

Last year the economic impact of the 75 member hospitals of the Dallas-Fort Worth Hospital Council (DFWHC) on the North Texas economy was $12.2 billion. Additionally, the DFWHC member hospitals also generated 237,058 total jobs within Texas.

An example of the economic impact of Missouri's hospitals, Truman Medical Centers employs more than 4,000 people. In addition, its business activity—including capital improvements—infuses as much as $120 million into the local economy through supplies, commodities, utility payments and building projects in any given year.

There are 42 community hospitals in North Dakota and close to 22,000 full-time employees at those hospitals, making ND health care systems the state's largest employers. The direct economic impact of North Dakota community hospitals is $2.85 billion and, when combined with secondary impacts, the total climbs to $4.78 billion.

New Jersey hospitals contributed $19.5 billion to the Garden State economy in 2011, reflecting strong growth of $900 million compared with 2010, according to the 2012 N.J. Hospitals Economic Impact Report recently released by the New Jersey Hospital Association.

In January 2012, the Los Angeles County Economic Development Corporation completed a report estimating that in 2010, the hospitals in the HASC region contributed $74.4 billion in total economic output and supported 507,550 full and part-time jobs with total labor income (including benefits) of $31.9 billion. This economic activity is estimated to have generated $3.8 billion in state and local taxes.

Health care added 44,000 jobs in September, with hospitals adding 8,000. Over the past year, employment in health care has risen by 295,000.

San Francisco hospitals, research universities and institutes, medical education and biomedical firms are responsible for 104,035 jobs – almost one in five jobs in San Francisco.

The 102 hospitals in Arizona employed nearly 80,000 people in 2011, accounting for 2.8 percent of total state employment, and supported more than 90,000 jobs, including those employed in other industries but whose jobs depend on economic activity created by hospitals.

44,300 Arkansans are employed by hospitals, which have a combined annual payroll of $1.7 billion that helps to support about 7.7% of all non-farm jobs in the state through direct and indirect purchases of goods and services.

In August, the health care sector added 17,000 jobs and hospitals added 6,000.

Bureau of Labor Statistics  data show that health care created 169,800 jobs in the first half of 2012 and accounted for one out of every five new jobs created this year

The goods and services hospitals purchase from other businesses create additional economic value for the community. With these "ripple effects" included, each hospital job supports about two more jobs and every dollar spent by a hospital supports roughly $2.30 of additional business activity.

Arkansas hospitals contributed an estimated $10.3 billion to the economy in 2010, according to a new report by the Arkansas Hospital Association. The hospitals directly employ 42,300 people and indirectly support another 32,700 jobs for a combined payroll effect of $4.9 billion. In addition, they support the purchase of $4.9 billion in goods and services, and nearly $459 million in capital spending. The report concludes that hospitals are "instrumental to supporting the state and local economy" and urges lawmakers to "continue to invest in our state's health care system."

The goods and services hospitals purchase from other businesses create additional economic value for the community. With these “ripple effects” included, each hospital job supports about two more jobs, and every dollar spent by a hospital supports roughly $2.30 of additional business activity.

In 2011 the community benefit contributions of Iowa hospitals exceeded $1.47 billion.  Through a wide range of hospital community outreach activities, more than 6.2 million Iowans were served by community service programs.

In 2011 the health care sector grew more than any other sector in the United States, creating 20% of new jobs. Hospitals added 89,000 jobs.

Hospitals and hospital related spending in the City and County of San Francisco generate $15.3 billion in spending annually and generate 98,994 jobs, about 18 percent of San Francisco's workforce.

The total employment impact of hospital systems in New Hampshire is 65,651 direct and secondary jobs, earning a total of $3.7 billion. Hospital system employees earn about $2.3 billion a year in wages, salaries and benefits, while secondary jobs related to community hospitals earn $1.3 billion a year.

Hospitals in Northeast Ohio directly employ more than 81,000 people, and their 2010 construction projects employed another almost 4,000 people. Altogether, these 85,000 people earned almost $5.9 billion in salaries and benefits in 2010.

The Hospital Council of Northern and Central California estimates that hospital-related spending in the San Joaquin Valley generates $6.8 billion in spending annually and 52,101 jobs.

During a time when Georgia’s economy continued to suffer, a new report shows that, in 2010, Georgia hospitals provided the state a much-needed $38 billion economic boost. The report, commissioned by the Georgia Hospital Association also showed that with the state’s unemployment rate hovering around 10% at that time, hospitals accounted for more than 337,000 full-time jobs.

Beaver Dam Community Hospital generated $28 billion annually in economic activity to the Wisconsin economy and employed more than 110,000 people in communities throughout the state in 2011.

In Kansas, the hospital sector employed an average of 73,890 people in 2010-11.  Additionally, for each job created in the hospital sector, another 0.78 jobs were supported in other businesses and industries in the state’s economy. The direct impact of the 73,890 hospital employees resulted in an indirect impact of 57,330 jobs throughout all businesses and industries in the state. Thus, hospital sector employment had a total impact on state employment of 131,220 jobs.

Pennsylvania’s hospitals are cornerstones of their communities, accounting for nearly 600,000 jobs and providing a $100 billion boost to the economy.

Rhode Island hospitals employ 21,400 health care professionals, with a total payroll of $1.8 billion. These jobs account for more than 6% of the state’s private-sector employment.

Collectively, acute care hospitals in Oregon directly generated 59,580 full- and part-time jobs in 2010. Through supply-chain and consumption-driven effects, this direct employment is linked to another 69,790 jobs in other sectors of the Oregon economy. In total, acute care hospitals in Oregon were associated with 129,370 full- and part-time jobs in Oregon in 2010.

In southeast Pennsylvania, one in 10 jobs is hospital-related. In 2010, the region's 60 hospital facilities and 97,340 employees contributed $28.7 billion to the local economy.

Hospitals employ more than 5.4 million people and are the second- largest source of private- sector jobs.

Iowa’s Finley Hospital creates a $62 million impact on the local economy and generates more than 800 jobs. Hospital employees by themselves spend more than $21 million on retail sales and contribute $231,093 in state sales tax revenue.

Colorado hospitals contributed $18.8 billion to the Colorado economy in 2010.  Additionally, Colorado hospitals directly employed 71,700 people in 2010, and spending by both hospitals and their employees helped create another 61,400 Colorado jobs.

Carondelet Health provided more than $22 million in unreimbursed care in 2011 including offering free wellness services to low-income patients.

Kansas hospitals employ 73,890 people and support another 57,330 jobs throughout the state. Hospitals directly and indirectly generate nearly $6.3 billion in income, $2 billion in retail sales, and $125 million in sales tax for the state each year.

In 2010, Sentara Healthcare returned more than $179.4 million to communities across Virginia through uncompensated patient care services, training the future health care workforce and touching individuals with health information, screenings and prevention in their local communities.

The Michigan Health & Hospital Association has announced that health care provides more than half a million direct jobs statewide, with hospitals alone employing nearly 222,000 of those individuals. Michigan’s direct health care jobs generated more than $31 billion in wages, salaries and benefits in 2010, with health care workers paying local, state and federal taxes to the sum of $7.4 billion.

Illinois’ 200 hospitals and health systems contribute $78.7 billion to the state’s economy, according to a new report by the Illinois Hospital Association. The hospitals employ more than a quarter of a million people and expend $15.4 billion a year on wages and benefits, resulting in 422,575 direct and indirect jobs.

Iowa's community hospitals generate more than 136,000 jobs that add nearly $6.2 billion to the state's economy. The state's hospitals provide $3.9 billion in salaries and benefits and generate another $2.3 billion through other jobs that depend on hospitals.

Mississippi hospitals generate $11.9 billion for the state's economy, according to a new report prepared for the Mississippi Hospital Association. That includes 94,700 direct and indirect jobs.

The construction of Rust Medical Center in New Mexico and its physician's office building brought a total of 2,500 construction jobs to Rio Rancho over two years. The hospital currently has more than 400 permanent employees, with a $50 million annual payroll.

MD Anderson Cancer Center provided $326 million in unsponsored charity care to Texans with cancer in 2010 and employed 18,000 people with 1,200 volunteers who logged more than 195,000 hours of service in 2010.

Baylor Regional Medical Center at Grapevine, Texas will generate over $227 million in economic activity for the Dallas/Fort Worth Metroplex. This activity will support more than 3,300 direct, indirect and induced jobs paying over $138 million in annual earnings.

Connecticut hospitals contribute nearly $17.6 billion annually to the state and local economies and employ 97,000 people.

Louisiana's 228 hospitals provided jobs for 99,351 people with an annual payroll of almost $4.4 billion. Healthcare employment in Louisiana has risen by 11,240 jobs in two years from 2008 to 2010, despite the fact that overall employment in the state was declining.

Hospitals are the largest component of the health care sector and in total employ over 5.4 million people - the second largest source of private sector jobs. Hospitals have provided steady growth during the most recent downturn, creating over 74,000 jobs over the past year alone.

Wisconsin hospitals generated $28 billion annually in economic activity and employed more than 110,000 people

Rhode Island hospitals' estimated economic impact in 2009 was more than $6.3 billion and accounted for 39,200 jobs.

Florida hospitals are responsible for creating 739,078 jobs and generate $54 billion in total economic contributions statewide.

Oregon hospitals  reported more than $1.5 billion in community benefits in 2009. About $1.2 billion was for uncompensated care, which includes charity care as well as unreimbursed care provided to patients in Medicare, Medicaid and other public health insurance programs.

St. Anthony Hospital  in Colorado created 2,400 jobs when it opened this summer and is expected to pump $336 million into the local economy each year.

Georgia hospitals employ 141,000 people and pay salaries and benefits totaling $7.9 billion annually and provided $1.9 billion in uncompensated care in 2009.

Indiana hospitals employ more than 120,000 people and the payroll of the hospitals is approximately $4.6 billion.

As of 2009, Alabama's hospitals  employed 81,491 individuals. This includes full- and part-time employees. If you look at the other non-hospital jobs created as a result of the hospital's presence in the community (jobs in doctor's offices, dialysis clinics, medical supply companies, etc.), it's estimated that there are another 79,518 jobs created statewide.

Ohio hospitals provided 2.9 billion in community benefits beyond health care. Every dollar hospitals spend generates an additional $1.23 in the state's economy. Hospitals also care for more than 1.5 million inpatients, 34.2 million outpatients and 6 million emergency room patients each year.

Ohio hospitals provided 2.9 billion in community benefits beyond health care. Every dollar hospitals spend generates an additional $1.23 in the state's economy. Hospitals also care for more than 1.5 million inpatients, 34.2 million outpatients and 6 million emergency room patients each year.

Nebraska hospitals are economic engines - supporting more than 71,000 jobs, directly and indirectly - providing stability and growth in the state, even when the economic recession is affecting their own financial stability.

In 2009 Minnesota hospitals provided 3.2 billion in community benefits beyond health care.

In 2010 New Jersey hospitals provided $2.7 billion in community benefits beyond health care. The total includes the value of free and discounted care for the poor, uninsured and senior citizens; community health offerings like immunization clinics and other wellness programs; education for future health care professionals; medical research; and a wide array of additional community programs.

Illinois hospitals pump $75.1 billion annually into the state's economy and employ more than a quarter of a million employees.

New York hospitals generate some 108 billion for the state and local economies each year.

New report from the American Hospital Association finds that hospitals supported one in nine U.S. jobs and more than $2.2 trillion in economic activity in 2009.

Vermont hospitals directly or indirectly support more than 27,000 jobs or one in twelve jobs within the state.

According to Job Service of North Dakota, health care and social assistance represents the state's largest employment sector. Roughly 16% of all workers in North Dakota are employed by a health care organization.

The economic contributions made by Pennsylvania's hospitals to local communities and the state have continued to increase, rising to $98.9 billion during 2010, up from $89.8 billion during 2008.

Kentucky hospitals are responsible for generating approximately $2.8 billion in local economic activity from the purchases they make and those made by their employees.

Roughly one-eighth of Missouri's economy can be traced back to its hospitals

New Jersey is home to 73 acute care hospitals. In 2009, New Jersey hospitals delivered over $18 billion in total expenditures, $2.3 billion in purchased services, and provided nearly $1.4 billion in charity care services to New Jersey's working poor and other uninsured residents.

Ohio is home to 181 hospitals. Hospitals and health systems make a $67.8 billion impact on Ohio's economy and provided $2.6 billion in benefit to their community above and beyond the health care services they provide to their patients.

Hospitals support nearly one of 9 jobs in the U.S.

Every dollar spent by a hospital supports roughly $2.30 of additional business activity.

Hospitals support over 2 trillion dollars of economic activity.

The IHA Hospital Economic Impact Report: Iowa hospitals provide more than 70,000 jobs that pay nearly $3.8 billion in salaries and benefits. This makes hospitals the ninth largest non-agricultural employer in Iowa.

New Jersey is home to 73 acute care hospitals. In 2009, New Jersey hospitals delivered over $18 billion in total expenditures, $2.3 billion in purchased services, and provided nearly $1.4 billion in charity care services to New Jersey's working poor and other uninsured residents.

Economic Contribution of Hospitals

Making Health Care More Affordable

 

 

 

 

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