Of all the challenges currently confronting the US healthcare industry, the shortage of skilled personnel is one of the most pressing. A report by the Association of American Medical Colleges (AAMC) predicts a shortfall of up to 86,000 physicians in the next 12 years. These figures and similar forecasts for nurses, therapists, physician assistants, and other healthcare professionals are reverberating throughout the industry. They underscore the immediate need for new strategies to bolster personnel retention and recruitment in the face of these changing dynamics.
What is causing the staffing shortages?
Several factors have exacerbated staffing shortages, and the unprecedented challenges of the COVID-19 pandemic only intensified many of them. Some of the key factors include the following:
Retention strategies
The severity of healthcare staffing shortages is prompting many in the industry to focus on innovative strategies for retaining valuable healthcare professionals. Beyond the big-picture fixes, such as better compensation and improved healthcare coverage and retirement plans, employers are implementing programs that directly address the unique needs of healthcare workers.
Flexible schedules
A beneficial and low-cost way to make healthcare jobs more desirable is to allow for flexible scheduling. A flexible work schedule allows employees to look for jobs that suit their circumstances or preferences, allowing them to manage their professional and personal lives in a way that suits their lifestyle. Offering HCPs control over their hours can be a win-win approach for employers and employees, improving morale and attendance while increasing productivity.
Financial solutions
According to the Education Data Initiative, the average medical school debt is $202,453, excluding premedical undergraduate and other educational debt. The US Department of Education’s College Scorecard estimates nursing debt to range from $23,000 to $49,000, depending on the type of program and school attended. Because of these numbers, employer programs focusing on financial solutions, including student loan assistance, loan counseling, and other services, are a high priority for many healthcare workers. These benefits clearly demonstrate the industry’s commitment to its workforce, providing employees with reassurance and peace of mind. Consider the following benefits:
Repayment programs
Student loan counseling
Banking perks
Repayment programs
Many job seekers who struggle with student debt consider employee loan repayment assistance the most important employee benefit, even above additional retirement packages and healthcare coverage. Not only is it a great incentive, but it also fosters a sense of commitment and can improve the chances that employees will stay with a provider longer if they help pay down their student loan debt.
Student loan counseling
Offering expert consultation services to your employees with student debt is a valuable tool to help them better understand their options for student loan repayment, forgiveness, and refinancing.
Banking perks
Offering access to online banking tools designed with HCPs in mind is another way to help improve the financial wellbeing of your healthcare employees. These banking programs, such as no-fee checking accounts that earn bonuses and cash rewards, and special offers designed for their busy lifestyle can directly address employees' most important priorities.
Strategies to reduce burnout
Managing workload is an essential consideration in reducing burnout among healthcare employees. Helping employees manage a realistic workload expectations with sufficient training, limited on-duty hours, and adequate staffing levels can be important factors to reduce burnout and help keep your employees engaged and motivated.
Recruitment tactics
In addition to retaining employees, it is also essential to have robust and effective recruiting measures in place. These can include utilizing branding and marketing strategies, outreach to educational institutions, and offering employee benefits such as tuition reimbursement to attract top-tier talent.
Leveraging employer branding
Building a strong employer brand is essential to recruiting the best candidates for today’s healthcare positions. Your brand should embody the organization’s culture by defining its mission, values, and unique strengths. Employee testimonials can effectively communicate the brand’s reputation by offering authentic insights to attract potential healthcare employees with similar workplace values. A solid social media presence is also critical to showcase the organization’s culture and achievements, allowing for fresh updates, testimonials, and a positive brand image.
Targeting outreach and partnerships
Collaborating with educational institutions to establish internships and training programs is an excellent way to identify, attract, and nurture new talent. Graduates from medical colleges, nursing schools, and other healthcare training facilities often gravitate toward institutions they know and have previously worked with, giving healthcare providers who partner with educational institutions an advantage in recruitment.
Offering loan repayment or tuition reimbursement
Similarly, student loan repayment benefits, tuition reimbursement, and employer-paid contributions are also critical strategies for attracting graduates, as well as retaining valuable employees. Loan repayment benefits are currently tax-free up to $5,250 per employee (a tax break extended until 2025 by the Consolidated Appropriations Act of 2024) and can be paid out in numerous ways, including as a recurring payment, a signing bonus, part of retirement savings, or trading unused paid vacation days. Prospective healthcare employees also appreciate organizations willing to invest in their continuing education by providing tuition reimbursement for relevant classes. This allow employees to build their expertise—which also benefits the employer—and advance their careers.
Programs to help retain valuable HCP talent
Given the current state—and future forecasts—of staffing shortages in the healthcare industry, employers must prioritize retention and recruitment efforts. Consider reaching out to expert partners like Laurel Road who can help create a customized program at no additional cost to you that can support your healthcare team’s unique requirements, particularly the need for student loan benefits, financial services, and other programs that enhance their financial wellbeing and can ease their stress. To learn more about Laurel Road’s programs and special offers for healthcare employers, visit laurelroad.com/employers.
Sources:
- https://www.aamc.org/news/press-releases/new-aamc-report-shows-continuing-projected-physician-shortage
- https://www.ama-assn.org/practice-management/sustainability/doctor-shortages-are-here-and-they-ll-get-worse-if-we-don-t-act
- https://educationdata.org/average-medical-school-debt
- https://collegescorecard.ed.gov/
- https://www.congress.gov/bill/118th-congress/house-bill/4366
