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News » 98% hospitals struggle with nurse staffing crisis, soaring costs — survey


98% HOSPITALS STRUGGLE WITH NURSE STAFFING CRISIS, SOARING COSTS — SURVEY

Virgil Villanueva

Posted on April 10, 2024 1 min read
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WASHINGTON, UNITED STATES — Ninety-eight percent of hospital chief financial
officers claim that nurse staffing is a significant challenge for their health
systems, according to a recent report by Nursa.

The findings paint a grim picture, with 86% of health systems having lost 10% or
more of their nursing staff in 2023 alone. 

This comes amid efforts to retain staff, with 77% of CFOs indicating they
increased starting wages by at least 20% over the past two years.

Additionally, in 2023, 86% of hospitals and health systems saw 10 or more of
their nursing staff quit. 

Further, 75% of CFOs and 69% of all hospital executives say nursing costs put
significant pressure on their bottom line or are the top driver of margin
pressures in the past two to three years.

“The perceived staffing shortage existed long before the pandemic, but the
recent public health emergency added a significant amount of stress to an
already weary nursing workforce,” said Curtis Anderson, Nursa’s CEO and Founder.

“The survey findings highlight that health executives understand the complex
layers leading to the crisis — nurse dissatisfaction, wages, large
administrative workloads, etc. — but are employing reactive strategies that
still don’t cover all gaps in frontline care staffing.”

The report also revealed that contract nurse volume more than doubled from 2019
to 2023, while 93% of health leaders do not believe nurses employed by a health
system are more valuable than independent contractors. 

With an estimated shortage of 200,000 to 450,000 nurses in the United States,
staffing challenges remain a top concern for health system executives, requiring
nimble solutions to address foreseeably consistent staffing problems.

← New Jersey hospital to launch AI-powered smart beds, patient monitoring
CrowdStrike, HCLTech partner to boost enterprise cybersecurity →

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ABOUT OUTSOURCE ACCELERATOR

Outsource Accelerator is the leading Business Process Outsourcing (BPO)
marketplace globally. We are the trusted, independent resource for businesses of
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OA IN THE MEDIA

“The BPO industry has historically been resilient during crises, said Derek
Gallimore, founder of Outsource Accelerator, an industry adviser. "Outsourcing
is fundamentally countercyclical. The industry can do well in recessions and
depressions," Gallimore said.”

Cliff Venzon, Nikkei Asia

“Outsource Accelerator has developed an objective methodology ranking the top
500 outsourcing firms globally. For the first time, there is a reliable method
of analyzing, comparing, and tracking firms across the $250 billion global
outsourcing industry.”

Yahoo Finance

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book may help many get through it successfully. A book of useful information for
a changing employment landscape.”

Kirkus

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Accelerator, has been hearing about since day one of the pandemic. His
Manila-based firm helps companies build and operate their offshore teams.”

Daniel Moss, Bloomberg

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“The best ways to free up your time involve regulating better workplace
productivity and finding different strategies to efficiently get work done. With
that said, here are several steps you can take.”

Derek Gallimore, Forbes

“While companies internally are not always set up to deliver a seamless CX, the
CX industry itself is becoming more demanding, as well. Derek Gallimore, founder
and CEO of Outsource Accelerator, an outsourcing marketplace and advisory firm
based in Manila, has witnessed the rising complexity of the customer service
industry firsthand.”

Harvard Business Review

“The Great Resignation is unavoidable, and it is still happening as employees
continue to look for job opportunities with greater working conditions. From The
Great Resignation to The Great Talent Reshuffle — the key here is to retain
employees.”

Derek Gallimore, Entrepreneur

“Despite being used for decades, outsourcing is still often looked down upon or
misunderstood but Derek Gallimore sees it creating a seismic shift of how and
where companies employ their workers.”

Susan Belknapp, California Business Journal
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ABOUT OA

Outsource Accelerator is the trusted source of independent information, advisory
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THE #1 OUTSOURCING AUTHORITY

Outsource Accelerator offers the world’s leading aggregator marketplace for
outsourcing. It specifically provides the conduit between Philippines
outsourcing suppliers and the businesses – clients – across the globe.

The Outsource Accelerator website has over 5,000 articles, 350+ podcast
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ABOUT DEREK GALLIMORE

Derek Gallimore has been in business for 20 years, outsourcing for over eight
years, and has been living in Manila (the heart of global outsourcing) since
2014. Derek is the founder and CEO of Outsource Accelerator, and is regarded as
a leading expert on all things outsourcing.

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Outsource Accelerator in the media

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 * Outsourcing industry “absolutely booming”
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 * Doom or boom faces the IT-BPM industry (part 2)
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 * The Chinese Antidote to a Covid-battered Philippines
 * The Philippine IT BPM Industry: Your Tool for Business Recovery and
   Continuity
 * BPO industry in Philippines seen benefitting as firms abroad cut costs due to
   pandemic

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