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News » U.S. hospitals turn to tech to combat $24Bn staffing crisis

U.S. hospitals turn to tech to combat $24Bn staffing crisis

U.S. hospitals turn to tech to combat $24Bn staffing crisis

OHIO, UNITED STATES — Hospitals across the United States are increasingly turning to technology-driven staffing systems as workforce shortages strain budgets, exhaust clinical staff, and threaten patient care, according to a thought leadership article from MedCity News.

Curtis Anderson, who wrote the article, is the founder and Chief Executive Officer (CEO) of Nursa, a healthcare staffing platform known for improving patient care by connecting nurses seeking flexible work. 

According to the American Hospital Association (AHA), labor remains the single largest expense for hospitals, accounting for 56% of total operating costs.

Staffing gaps have also added an estimated $24 billion burden to the healthcare system, underscoring the scale of the workforce crisis confronting providers.

“Staffing shortages create a domino effect of inefficiencies that ripple through every department — causing bottlenecks, delays, and financial pressures that jeopardize the bottom line and compromise patient care,” Curtis stated.

The current situation in healthcare facilities requires administrators to develop new staffing methods as their existing approach depends too much on using overtime work and hiring temporary staff.

How healthcare staffing shortages impact patient care

According to a health workforce analysis cited by the American Association of College of Nursing, healthcare organizations will experience a shortage of 63,720 full-time registered nurses by 2030.

Hospitals established staff shortage solutions through the implementation of contract workers and the use of overtime shifts. The 2024 Cost of Caring report from AHA shows that U.S. hospitals spent approximately $51.1 billion on contract staff in 2023 to meet their staffing requirements.

But these stopgap solutions often create new pressures.

Staff shortages push clinicians to work longer hours, raising burnout rates and increasing the likelihood that employees will leave the profession. 

In a survey from the American Nurses Foundation, 60% of acute care nurses reported burnout, while 52% considered leaving their jobs primarily because of insufficient staffing.

Beyond workforce stability, the issue has direct consequences for patient safety. A study from the National Library of Medicine shows that when nurses are assigned more patients, the quality of care can suffer.

Research from the BMJ Journals shows that for each patient added to a nurse’s rotation, the likelihood of a longer hospital stay increased by 5% and the risk of death increased by 16%. 

Tech-driven staffing solutions for healthcare providers

Healthcare providers face increasing expenses and workforce shortages, which drive them to digital platforms that provide staffing prediction tools while allowing facilities to connect with available clinicians through live tracking systems.

Real-time workforce management tools use analytics to forecast labor demand, reduce scheduling gaps, and help hospitals avoid expensive last-minute staffing decisions.

“Investing in modern, tech-enabled staffing solutions is not just about filling shifts; it’s about building more resilient organizations that anticipate labor demands, prioritize patient care, and achieve sustainable financial health,” Curtis stated.

The platforms enable access to medical professionals who work at facilities that operate beyond standard healthcare provider networks. The direct link between hospitals and per diem nurses, together with contract clinicians and remote administrative support teams, will help providers to lower their administrative expenses while reducing their dependence on full-time personnel.

Health systems use outsourced operational support to manage scheduling coordination, workforce management, and back-office functions as part of their workforce strategies.

Hospital leaders need flexible staffing solutions together with technology-based workforce models to solve their staffing shortages while they maintain operational stability, which enables them to deliver high-quality patient care.

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