Healthcare employment rose during the month of August, likely a welcome relief to resource-stretched organizations.
According to the latest jobs report from the U.S. Bureau of Labor Statistics (BLS), healthcare was a leading industry for job growth during August, adding 48,000 jobs to the economy. Healthcare providers have been stretched thin over the past few years due to the impact of the COVID-19 pandemic, leading to higher-than-normal job openings across the industry. In fact, the tight labor market has led to big compensation increases, particularly among travel nurses. Across all industries, average hourly earnings for all employees on private nonfarm payrolls rose by 10 cents, or 0.3%, to $32.36, BLS reported.
The biggest upward swing in healthcare jobs during August included in offices of physicians (+15,000), hospitals (+15,000) and nursing and residential care facilities (+12,000). The job growth follows months after economists dubbed the past year as the Great Resignation, thanks to thousands of Americans quitting their jobs in favor of other positions or pursuit of other life goals.
While the job growth is great news for the industry, the number of openings is still high, with 37,000, or 0.2%, fewer jobs currently filled than the February 2020 level, before COVID-19 significantly impacted the U.S. Over the past year, the healthcare industry has added 412,000 jobs, according to BLS.
Healthcare was one of the leaders for job growth during August, second to professional and business services and ahead of retail. The news comes as healthcare CEOs have also been departing their roles at a record clip this year. While the rate of CEOs leaving appeared to stabilize in July, hospitals CEOs were quitting at a record rate in May, according to a report from report from Challenger, Gray & Christmas, Inc.
The latest jobs report also comes as hospitals are facing tighter margins than ever––along with higher costs. In addition, healthcare professionals are dealing with a mental health crisis due to burnout, trauma and stress.
Amy joined TriMed Media as a Senior Writer for HealthExec after covering home care for three years. When not writing about all things healthcare, she fulfills her lifelong dream of becoming a pirate by sailing in regattas and enjoying rum. Fun fact: she sailed 333 miles across Lake Michigan in the Chicago Yacht Club "Race to Mackinac."