For all of the skepticism that came with Obamacare, also known as the Affordable Care Act, it has brought an exceptionally successful quarter to the healthcare industry. Between hospital employees, doctors, and other health care workers, June alone saw an astounding new 40,100 jobs created. Ambulance surgical centers recorded the largest growth with an increase of 22,600 jobs. Nursing and residential care was a far second with 6,900 jobs added, followed by home healthcare with 5,300, 2,700 to physician offices, and 2,500 went to outpatient care centers. The U.S. Bureau of Labor Statistics reported an increase of 10,600 healthcare jobs compared to those created in May.
Although this has been one of the largest months of job creation in recent memory, it is particularly notable because it is a continued trend over the past year. Almost 430,000 jobs have been added to the industry in the past 12 months, with approximately 135,000 created in the last quarter (more than the entire United States acquired between 2001 and 2004!)
The success of the healthcare industry marks a significant shift in the direction that it was previously headed, as the hiring of healthcare employees had decreased considerably between 2013 and 2014. Not only were no new jobs created in 2013, but it marked the first time in 10 years that employment within the healthcare industry actually decreased. Many hospitals in states that did not expand Medicaid eligibility under the Affordable Care Act were forced to lay off a significant number of staff.
Fortunately, the industry is back on track and creating more jobs than ever; the healthcare growth rate has nearly tripled from this time last year. Total employment for American hospitals increased by 107,600 jobs from June of last year, as it reached 4.88 million
The unfortunate reality of the mass increase of jobs in the healthcare industry, however, is the inevitable rise in healthcare costs. New jobs means that more people must be paid in order to sustain the industry, and somebody has to pay them. While some believe that an equal level of efficiency can be maintained with fewer employees, our country is yet to come to a solution for the financial dilemma the healthcare industry has created.
Growing healthcare employment proves that it’s a great time to be in the healthcare staffing industry. However, unexpected cash flow shortages often accompany rapid growth. PRN Funding is aware of the cash flow challenges facing companies that provide staffing to hospitals and health facilities. Healthcare providers may not always pay on time, but factoring for healthcare staffing agencies ensures you’ll always have the funding needed to effectively run your business and pay employees.