GVR Report cover Healthcare Staffing Market Size, Share & Trends Report

Healthcare Staffing Market Size, Share & Trends Analysis Report By Service Type (Travel Nurse, Per Diem Nurse, Locum Tenens, Allied Healthcare), End Use (Hospitals, Ambulatory Facilities), By Region And Segment Forecasts, 2022 - 2030

  • Report ID: GVR-2-68038-245-7
  • Number of Pages: 97
  • Format: Electronic (PDF)
  • Historical Range: 2017 - 2020
  • Industry: Healthcare

Report Overview

The global healthcare staffing market size was valued at USD 38.6 billion in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 6.89% from 2022 to 2030. Some of the factors driving market growth include increased knowledge of the benefits of temporary employment, job-related incentives, and the availability of opportunities across the country. Technology is currently one of the major drivers of increased healthcare employment. Advancements in healthcare devices have led to various innovations, such as medical informatics and telehealth, increasing the need for a skilled labor force to handle both technical and non-technical aspects of these devices.

 North America healthcare staffing market size, by service type, 2020 - 2030 (USD Billion)

One of the important factors driving the market is the benefits and advantages of becoming a per diem nurse, travel nurse, or locum tenens. In addition, to their passion to serve others, physicians, and nurses give high importance to flexible work schedules. Temporary staffing solutions enable medical professionals to choose when they are willing to work or are ready to take new assignments. Higher flexibility of working hours and greater exposure to various healthcare systems across different locations are factors expected to result in an increase in the number of individuals choosing allied healthcare, per diem, travel nurse, or locum tenens as a career option.

Significant growth in the number of government and non-government hospitals, long-term care centers, acute care centers, and other types of healthcare institutions is expected to considerably drive market progression. Improving healthcare infrastructure and increasing investment in public health is leading to an increase in the number of hospitals. New laws are expected to provide allied staff, especially, nurses, the authority to act as patients’ primary advocates by initiating health plans to facilitate better care. Such laws protect and promote patients’ right to make informed care decisions.

COVID-19 healthcare staffing market impact: 16.03% growth from 2020 to 2021

               Pandemic Impact

                        Post COVID Outlook

The high surge of COVID-19 infection resulted in restrictions on operation in most long-term care facilities. Elective & nonemergency treatments were canceled. The cancellation of elective procedures resulted in a decline in the demand for locum tenens specialists and allied health workers. The demand for nurses at care services facilities also reduced

Post COVID-19 pandemic the demand for healthcare staffing is expected to rise as the long-term care facilities & hospitals will require new staff for the pending elective treatment procedures and specialized nursing care. The pandemic has increased healthcare awareness resulting in a high surge in demand for healthcare staffing services.

During the COVID-19 pandemic, there was a significant surge in demand for travel nurse staffing services and workforce technology solutions. The rising number of COVID-19 infections has increased the demand for travel and per diem nurses. According to an Avant Healthcare Professionals study, 90% of medical facilities in 2020 agreed to use travel nurses to manage COVID-19 patients. Similar was continued during the devastating 2021 second wave

Post COVID-19 as well the demand for travel nurses & per diem nurses is expected to be higher due to the growing in-home nursing services. The opening of more options during the COVID-19 pandemic is boosting the scope for temporary staffing. An increase in the retirement rate of healthcare staff due to the COVID-19 burden is also propelling the demand for staffing services.

 

Upcoming regulatory reforms will disperse the concentration of influence held by physicians and specialists, allowing markets to target multiple members of the healthcare value chain. For instance, in 2021, a bill was approved in India aimed at regulating and standardizing the education and practice of allied and healthcare professionals. Governments in developing countries are investing to modernize their countries’ healthcare infrastructure, which is projected to enhance access to healthcare services. This is likely to raise the demand for healthcare workers. The increasing prevalence of chronic diseases, such as cancer and diabetes, in developing countries, presents significant prospects in the global industry.

Service Type Insights

Based on service type, the market has been segmented into travel nurses, per diem nurses, locum tenens, and allied healthcare. In terms of revenue share, the travel nurse segment dominated the market in 2021 with a revenue share of more than 34.3%. The rapid rise of the travel nurse staffing segment can be ascribed to quick service, cost-effectiveness, and a nurse shortage. This scenario is anticipated to continue in the coming years. Locum tenens is expected to witness the fastest growth rate during the forecast period. Employers’ cost-effectiveness and physicians’ demand for locum tenens work are two of the factors driving the market growth. Locum tenens are preferred by hospitals, groups, and clinics during peak seasons and when a permanent physician is on vacation or a sabbatical because it is more cost-effective.

Furthermore, due to the shorter period of the assignment, flexible schedule, travel opportunities, and diversified clinical experience, medical doctors/physicians choose to serve as locum tenens. Per diem nurses are paid daily and are hired for short-term assignments through specialized job placement firms or hospital staffing pools. The main reasons nurses choose per diem are the relatively high earnings and work flexibility. Due to spontaneous leaves, vacations, or high acuity, clinics, outpatient facilities, and hospital groups face both last-minute and temporary staffing demands. Per diem shifts can be scheduled through a staffing agency or with a hospital directly. Furthermore, some nurses take per diem jobs as a way to gather work experience in various hospital settings before accepting a permanent post.

Regional Insights

North America dominated the global market in 2021 and accounted for the largest revenue share of more than 58.00%. The local presence of key market players, a rise in the geriatric population, and the increase in demand for healthcare staff by hospitals owing to financial setbacks associated with hiring permanent staff are some of the major factors contributing to the largest share held by this region. Asia Pacific is expected to grow at the fastest CAGR during the forecast timeline, as demand for a contract workforce rises in the region. The increased demand might be linked to the fact that contract hire does not carry the obligations that are traditionally connected with permanent employees.

 Global healthcare staffing market share, by region, 2021 (%)

Furthermore, the recruitment process is faster, and recruiters have access to a bigger pool of prospects. Europe is witnessing a severe shortage of healthcare professionals in the past few years. The omicron waves of 2021, further worsened the scenario. According to European Public Service Union’s January 2022 estimates, Europe has a shortage of 2 million healthcare workers. Furthermore, according to the European Commission, employment in the healthcare sector is expected to rise to 24,009,000 professionals by 2025 with over half of the healthcare professionals expected to retire or leave the sector for other reasons. All these factors are likely to drive the market in the coming years.

Key Companies & Market Share Insights

To improve their market share, key market players are pursuing strategies, such as mergers and acquisitions, to broaden their service offerings and geographical reach. For example, in May 2021, AMN Healthcare acquired the virtual care management startup Synzi for USD 42.6 million. Some of the prominent players in the global healthcare staffing market include:

  • Almost Family

  • Adecco Group

  • CHG Management, Inc.

  • AMN Healthcare

  • Cross Country Healthcare, Inc.

  • Envision Healthcare Corp.

  • LocumTenens.com

  • TeamHealth;

  • Maxim Healthcare Services Inc.

  • Syneos Health, Inc.

Healthcare Staffing Market Report Scope

Report Attribute

Details

Market size value in 2022

USD 36.9 billion

Revenue forecast in 2030

USD 62.8 billion

Growth rate

CAGR of 6.89% from 2022 to 2030

Base year for estimation

2021

Historical data

2017 - 2020

Forecast period

2022 - 2030

Quantitative units

Revenue in USD million/billion and CAGR from 2022 to 2030

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Service type, End Use, region

Regional scope

North America; Europe; Asia Pacific; Latin America; Middle East & Africa

Country scope

U.S.; Canada; UK; Germany; France; Italy; Spain; China; Japan; India; Australia, South Korea, Brazil; Mexico; Argentina, South Africa; Saudi Arabia, UAE

Key companies profiled

Almost Family; Adecco Group; CHG Management, Inc.; AMN Healthcare; Cross Country Healthcare, Inc.; Envision Healthcare Corporation; LocumTenens.com; TeamHealth; Maxim Healthcare Services Inc.; Syneos Health, Inc.

Customization scope

Free report customization (equivalent to up to 8 analysts' working days) with purchase. Addition or alteration to country, regional & segment scope.

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Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global healthcare staffing market report based on service type and region:

  • Service Type Outlook (Revenue, USD Million, 2017 - 2030)

    • Travel Nurse Staffing

    • Per Diem Nurse Staffing

    • Locum Tenens Staffing

    • Allied Healthcare Staffing

  • End Use Outlook (Revenue, USD Million, 2017 - 2030)

    • Hospitals

    • Clinics

    • Ambulatory Facilities

    • Others

  • Region Outlook (Revenue, USD Million, 2017 - 2030)

    • North America

      • U.S.

      • Canada

    • Europe

      • Germany

      • UK

      • France

      • Italy

      • Spain

    • Asia Pacific

      • Japan

      • China

      • India

      • Australia

      • South Korea

    • Latin America

      • Brazil

      • Mexico

      • Argentina

    • Middle East & Africa

      • South Africa

      • Saudi Arabia

      • UAE

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