Vetted Health’s Post

What do you do when MSPs cut your job supply by 80%? I spoke with Steve Belcher about what they're doing with job supply from MSPs being slashed. In the last ~2 years, most staffing companies have suffered from massive cuts to job supply. The recruiting workforce at several healthcare staffing companies has been slashed by 20%+ as a result of it. Nobody could have timed when this would happen, but it was inevitable. Hospitals and health systems over spent on travel healthcare recruiting companies, and they NEEDED to pull back spend. They decided to start filling positions themselves with in-house travel teams and transitioning to permanent jobs. One thing to note after speaking with several people that have been in this industry for decades: This is cyclical. Hospitals/Health System executives will look at their expenses, and notice high spend on healthcare staffing companies. They get guidance from the finance team to cut back spend and instead spend on hiring employees to permanent positions. Inevitably, in a few years time, they see that the cost to have healthcare workers full-time is similar to using healthcare staffing companies, and that they prefer the flexibility of having contract labor. And the cycle continues. The hardest part in all this? There's very little you can do in the moment to solve the reduced job supply problem. There's no magic bullet solution. You're siting with a large recruiting workforce, but no jobs to have them work to fill. Major MSPs hold back job supply because they can fulfill it themselves. So they don't need to rely heavily on their partner network. You have to have been preparing for this long before the drop in job supply. What did Advantis Medical Staffing do? They built up their direct job supply. They're 31% direct, 69% MSP. And with the MSP relationships, they made sure they're Tier 1 partners that are strategic fits. What are you doing to combat the dropping job supply?