Contract labor expenses for hospitals and health systems surged 258% from 2019 to 2022 as nationwide labor shortages forced many to rely on contract staffing firms to meet patient demand, according to an analysis of 2022 data from over 1,000 hospitals and health systems by AHA and Syntellis. Contract labor full-time equivalents jumped 139% over the three-year period, while the median wage rate paid to contract staffing firms rose 57%. 

“Essentially, organizations had to use more contract labor while also paying exponentially more for the contract labor they used,” the report notes.

The report builds on growing evidence of the unprecedented input cost growth facing hospitals and health systems. The AHA will continue to share data on the increased costs of caring in the coming weeks.

Related News Articles

Perspective
It was first celebrated in 1919 as Armistice Day to commemorate the end of World War I. Armistice Day was recognized as a national holiday in 1938, and in 1954…
Headline
In this conversation, Michelle Schweitzer, N.P., executive director of advanced practice providers at WakeMed, discusses the growing role her APP colleagues…
Headline
The National Academy for State Health Policy’s Hospital Cost Tool “misses the mark in many ways, and its use by payers, purchasers and policymakers could have…
Headline
The Dr. Lorna Breen Heroes’ Foundation Sept. 24 recognized 34 licensure boards and 375 hospitals for changing invasive and stigmatizing mental health questions…
Perspective
There will always be administrative costs associated with operating a hospital. But the lion’s share of a hospital’s resources should be devoted to doing what…
Headline
The Centers for Disease Control and Prevention Sept. 12 released a rural health strategic plan which includes the agency’s key priorities, objectives and…