US Healthcare Staffing Market Set to Become one of the Leading Employment Sectors in the US by 2023

14 December 2017

US healthcare staffing market is a fast growing market with increasing demand for nurses and other allied healthcare professionals. According to the US Bureau of Labor Statistics, the demand for registered nurses in the country is expected to grow by 14%–16% between 2017 and 2023, says a recent report on Healthcare Staffing Market in US.

Rising demand for healthcare services because of the country’s growing aging population, various acts such as the Patient Protection and Affordable Care Act (PPACA) also known as ACA, and a growing shortage of registered healthcare professionals are driving the growth of this market.

Analysts at Arizton expect healthcare staffing to become one of the leading employment sectors in the US, crossing the $9 billion mark by 2023.

Order a Free Sample Report

Shortage of registered nurses to propel the growth of the US healthcare staffing market

About 55% of the overall nursing workforce in the US, is currently above 50 years of age. A significant number of nurses will retire over the next few years which is expected to increase the demand for registered nurses in the US over the next few years. Although the demand for registered nurses will shoot up in the coming years, there is expected to be a considerable demand and supply gap owing to the increasing shortage of registered nurses. This shortfall would create sizeable opportunities in the US healthcare staffing market. Considering that the numbers of registered nurses expected to retire, the US will need more than one million registered nurses during the next five years.

Owing to this considerable demand, the US healthcare staffing market is expected to grow significantly over the next few years.

Market consolidation to help US healthcare staffing companies gain larger market share

Bigger players in the US healthcare staffing market are using strategic acquisitions to gain market share, expand geographically in the US, and enhance existing capabilities to serve a broad array of the customer base.

The demand for healthcare professionals are increasing across the country in the wake of increasing shortage of registered nursing staff, a fast rising aging population, and increased utilization of healthcare services made available through Patient Protection and Affordable Care Act or ACA. To cater to this continuously increasing demand, healthcare staffing companies are now forced to look beyond their own pool of candidates. This is pushing the bigger companies in the market to turn towards acquisitions to provide them with the resource pool needed to sustain the demand and to support revenue growth.

A fine example of market consolidation in the US healthcare staffing market is Cross Country Healthcare’s acquisition of Medical Staffing Network in June 2015 which helped it clinch the third spot in terms of revenue generation and market share. Also, the recent acquisition of Advantage RN in June 2017 helped the company secure leadership position in the per diem nurse staffing market in the US, surpassing Maxim Healthcare.

Shift towards ambulatory services to promote the growth of the US healthcare staffing market

The US healthcare staffing market in the US is witnessing a visible shift from inpatient services to ambulatory or outpatient settings. High-quality ambulatory settings like ambulatory surgery centers are gaining popularity as they are lower-cost alternatives for in-hospital settings. They not only ensure cost-effective care to patients but also save money for governments and third-party payers. Studies indicate that procedures in ambulatory surgical centers save billions of dollars for the Medicare. The amount paid by Medicare to ambulatory surgical centers is only 55%-60% of the amount it pays to hospital outpatient departments for performing the same set of services as of 2017.

This shift towards ambulatory services is being ably supported by hospitals and other healthcare systems who are focusing on becoming more cost-effective by streamlining their healthcare delivery processes to control the quality of patient care.

Order a Free Sample Report

You may reach us at

Sep 24, 2020

What are the Different Classification of Diagnostics Market and What are its Impact Globally?

The onset of diverse and technologically advanced healthcare infrastructure is fueling the developme...

Aug 27, 2020

Is Electromechanical and Mechanical Locks the Best Solution for Security?

The rising demand for digital security and access control solutions is one the primary factors contr...

Aug 27, 2020

Is Rapid Prototyping Emerging as a ‘New Technology’ in the Global Investment Casting Market?

The need for automation and efficient industrial processes is propelling the growth and development ...