In the past decades, the healthcare industry as a whole has seen unprecedented labor shortages, which were greatly exacerbated by the coronavirus pandemic. With record rates of burnout, the Great Resignation, and other factors seemingly outside of the industry's control, healthcare facilities have turned toward locum tenens to fill the gaps.
Are you paying market rates for Locums? Or are you overpaying? If you are negotiating rates with agencies individually and without the benefit of a competitive process you are most likely overpaying. The reality is that most health systems do not do a great job ensuring that they are competitive in the marketplace and not being overcharged for fees and conversions.
Determining market equilibrium pricing can be complex, but it doesn't have to be. Healthcare Workforce Logistics (HWL) is uniquely positioned to act as an honest broker for our clients. Unlike an agency-managed MSP program, we offer the ability to have one set rate with all vendors, tiered rate structures, or individual rates with each agency. We also monitor and assess agencies’ performance on an on-going basis and continuously monitor market pricing to achieve cost reductions on locums, nursing, and allied health professionals.
Locum tenens healthcare providers can be lifesavers for organizations who need additional providers, even though they come with a higher price tag than fully employed providers. Given an aging population and an aging physician workforce, the need for Locums is expected to continue to climb.
America's healthcare system has its foot stuck on a train track and the evening express is hurtling down the track.
Originally published May 2018. Updated on November 17, 2020.
The U.S. health sector has seen tremendous growth over the last century. Demand for medical providers is outpacing the supply so organizations are turning to provider staffing firms to fill the gaps. In fact, the healthcare staffing market is expected to hit $43.5 billion by 2025.
More and more healthcare provider organizations are turning to locum, or locum tenens to keep up with the increasing demands.
Read, ‘How an Agency Can Help You Find a Locum Tenens Physician.’