While physicians have historically constituted the vast majority of a health system’s providers, in recent years advanced practice providers (APPs) have grown in number and importance throughout healthcare.
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The pandemic and its complex social and economic effects have dislocated the modern workforce. The problem is especially profound in healthcare, where nearly 1 in 5 workers quit their jobs during the pandemic and one-third of nurses plan to leave their current roles by the end of 2022.
For more than a decade, hospitals, payers, and other healthcare stakeholders have experimented with moving healthcare payment from fee-for-service, volume-based contracts to arrangements that reward providers for the value of the care they provide.
Hospitals and health systems are feeling the full effects of the Great Resignation as labor expenses climb despite lower staffing levels. As a result, hospitals are paying higher wages to compete for qualified personnel. Read the Winter 2022 Kaufman Hall Report for strategies for improving recruitment and retention.
U.S. physician practices ended 2021 with sizeable gains in physician productivity and revenues relative to late 2020 performance, but mounting expenses and high levels of investments/subsidies required to support practice operations continue to be areas of concern.
Physician activity came roaring back in the second and third quarters of this year, with physician productivity and revenues surpassing both 2019 and 2020 performance.
Physician groups across the country saw productivity and revenue improvements in the second quarter compared to pre-pandemic levels seen in Q4 2019.