Staffing Experts Share How Hospitals Can Improve Workforce Management

February 23, 2023 - As staffing shortages continue, hospitals and health systems should focus on embracing the gig workforce, preparing for new regulations, and investing in technology to improve workforce management, according to a Hallmark Health Care Solutions (HCCS) report.

The 2023 Outlook for Healthcare Workforce Management report includes perspectives from healthcare staffing experts at Renown Health, Cielo Talent, and ECG Management Consultants.

The COVID-19 pandemic led to a significant shift in the healthcare workforce. In particular, providers began to transition to the gig workforce. One survey found that there has been a 1,400 percent increase in the number of nurses moving to gig models since the pandemic’s start.

According to staffing experts, hospitals and health systems must embrace independent and temporary workers to help address their workforce woes.

Hourly rates for nurses rose 213 percent between 2019 and 2022, while contract labor as a share of total labor hours increased from 1 percent to 11 percent. Continuous high labor expenses are not sustainable and will eventually bankrupt organizations, experts said.

Hospitals must develop workforce models that align with the needs of clinical workers. This requires competing with staffing agencies to employ travel nurses, identify low-cost labor options, and fill openings faster.

Facilities could also recruit talent from other sectors. This may help health systems grow their talent pool and add candidates who are not facing burnout. Attracting or retaining clinicians considering leaving the industry could also help strengthen the workforce.

“Don’t count our most experienced resources out, even if they retired early,” Michelle Sanchez-Bickley, chief people executive for Einstein II, shared. “What if you could attract them back by allowing them to work in a telehealth capacity, or work through a flexible employment model where they can pick up abbreviated shifts?”

Hospitals and health systems must prioritize staff well-being to maintain a successful workforce. Clinical and human resources leaders can develop programs that focus on staff needs and help address work-life balance and burnout.

Being aware of upcoming regulations is also a critical step to improving staffing.

For example, there may be an increased focus on legislation surrounding nurse-to-patient ratios in 2023. Federal legislation has been introduced to create minimum nurse-to-patient ratios by unit, and several states are considering other ratio laws. These mandates could increase the need for staff and lead to higher labor expenses.

Additionally, hospitals should invest in technology to solidify their workforce and position in the market.

“Health systems need to more purposefully embrace technology in 2023 to attract all generations of talent,” Jennifer Mattocks, senior vice president for healthcare at Cielo Talent, said.

“Considering the how, when, and where people want to work, structuring meaningful and engaging resources around today’s workforce, and making data-based decisions to better predict staffing needs will ensure a fiscally sound – and sustainable – business. And doing that requires technology to work effectively.”

Specifically, hospitals and health systems should consider three factors when investing in new technologies: interoperability, cybersecurity, and partnerships.

Technology that will support integration between separate systems can help facilitate tasks for administrators and frontline operators. Facilities should choose technology partners with cybersecurity strength and proper certifications and accreditations. In addition, partners should be responsive to their ongoing and evolving needs.

“Technology needs to be closer to the forefront of everything health systems do. Whether improving their decision support capabilities or their ability to interact with their workforce, technology that can provide less friction in performing business tasks will be critical,” Sean Hartzell, principal of ECG Management Consultants, said.