U.S. Healthcare Staffing Market 2020 and Forecast 2021-2027

                                          
Report Overview: U.S. Healthcare Staffing Market


The U.S. healthcare staffing market size was valued at USD 16.9 billion in 2020 and is estimated to expand at a CAGR of around 4% over the forecast period 2021-2027. Some of the factors responsible for the market growth are increasing demand for temporary staffing for healthcare professionals due to the rising geriatric population and lack of skilled nursing staff across the country.

An increase in life expectancy has led to a rise in the geriatric population. According to the National Institutes of Health, the number of people aged 65 years and above in U.S. is projected to nearly double from 48 million to 88 million by 2050. An aging population is expected to have a significant impact on healthcare delivery because they are highly susceptible to lifestyle diseases and chronic conditions.

According to a report published on the National Center for Biotechnology Information, there will be a shortage of physicians and nurses in U.S. in various health specialty fields. Moreover, according to the Bureau of Labor Statistics (BLS), over the next decade, approximately a million new nurses would be required to fill the vacancies resulting from retiring nurses and to meet the increasing demand.

Technology is currently one of the major drivers for increased healthcare employment. Advancements in healthcare have led to various innovations, such as medical informatics and telehealth, which have increased the need for the skilled labor force to handle both technical and non-technical aspects of these devices. Hence, recruitment of new professionals along with training of existing ones has become essential.

As per a conducted study published by the Center for Connected Health Policy, the number of telemedicine related legislation pieces introduced in the 42 U.S. states was 200 in 2015. The CMS is expanding Medicare coverage for telemedicine, for instance, in 2017, CMS declared reimbursement to Remote Patient Monitoring (RPM) service providers. These factors are anticipated to boost the demand for healthcare staffing for home healthcare.

Service Type Insights: U.S. Healthcare Staffing Market

Based on service type, the U.S. healthcare staffing market has been segmented into per diem nurse, travel nurse, locum tenens, and allied healthcare. In 2019, travel nurses held the majority of the market share in terms of revenue in 2019. On the other hand, the locum tenens segment is anticipated to grow at the fastest rate during the forecast period. The locum tenens segment had the highest penetration because hospitals and clinics prefer locum tenens in peak seasons, in the absence of permanent physicians as they are more cost-effective. Furthermore, physicians also prefer to work as locum tenens due to short-term assignments, to get varied clinical experience, flexible schedules, and travel opportunities.

Physician shortage in the coming years is likely to drive the healthcare staffing market over the forecast period. According to the Association of American Medical Colleges, the U.S. could face a shortage of 150,000 doctors in the next 10 to 15 years. Long-term growth of the segment is expected to be fueled by the aging population, the increasing shortage of physicians, and the availability of healthcare insurance to most of the citizens.

AMN Healthcare; CHG Management, Inc.; Locum Tenens USA; and Adecco Group are some of the major players operating in the locum tenens segment. Hospitals, clinics, and outpatient centers face both last-minute and temporary staffing needs due to vacations, staffing shortages, and unscheduled absence. Hence, the need for locum tenens is expected to grow further in the coming years.

U.S. Healthcare Staffing Market Share Insights

The major players in the market include

 	
Almost Family
 	
AMN Healthcare
 	
CHG Management, Inc.
 	
Cross Country Healthcare, Inc.
 	
Envision Healthcare Corporation
 	
inVentiv Health
 	
Maxim Healthcare Services, Inc.
 	
TeamHealth
 	
Adecco Group.

The market is fragmented in nature and thus acquisitions and collaborations remain the key strategies being adopted by market players to increase their market share.

Aequor Healthcare Services (Aequor), a healthcare staffing and solutions company, acquired Locum Connections, LLC in June 2019. The acquisition will help Aequor to grow in the Nurse Practitioners/ Advanced Practice Providers (NP/APP) and physicianlocum tenens space. In January 2017, Travel Nurse Across America acquired Trinity Healthcare Staffing Group to increase its share in travel nurse staffing industry. In December 2018, Cross Country Healthcare acquired American Personnel, Inc. to expand its geographical reach in U.S. Through this acquisition, Cross Country expanded its presence in the northeastern region. In October 2018, Medicus Healthcare Solutions, LLC entered into a partnership with Beecken Petty O’Keefe & Company (BPOC) to meet the growing demand for physicians on a temporary basis from various healthcare facilities across the U.S.

This report forecasts revenue growth at country level and provides an analysis on the latest industry trends in each of the sub-segments from 2016 to 2027. Trusted Business Insights has segmented the U.S. healthcare staffing market report based on service type:

Service Type Outlook (Revenue, USD Million, 2016 - 2027)

 	
Travel Nurse Staffing
 	
Per Diem Nurse Staffing
 	
Locum Tenens Staffing
 	
Allied Healthcare Staffing