This is the result of overlapping pressures\u2014financial, demographic, and structural<\/span>\u2014<\/span>that are reshaping what hospitals need, where they need it, and what they can actually afford to pay. Understanding why layoffs and shortages coexist is the first step toward doing something useful about it.<\/span><\/p>\n [\/et_pb_text][et_pb_button button_url=”https:\/\/resources.intoo.com\/featured-content\/report-leading-through-layoffs-without-losing-trust?utm_source=website-blog&utm_medium=direct&utm_campaign=healthcare-talent-shortages-vs-layoffs” url_new_window=”on” button_text=”Learn how to lead through layoffs to maintain trust” _builder_version=”4.27.6″ _module_preset=”default” button_bg_color=”#1B467C” custom_margin=”36px||||false|false” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_button][et_pb_text _builder_version=”4.27.6″ _module_preset=”default” background_color=”#CFE7FF” custom_padding=”10px|20px|10px|20px|false|false” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n [\/et_pb_text][et_pb_text _builder_version=”4.27.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n The U.S. Bureau of Labor Statistics projects that healthcare and social assistance will be the fastest-growing industry sector through 2034, adding roughly <\/span>2 million<\/span><\/a> jobs and outpacing every other part of the economy. That growth is driven in large part by a simple reality: Americans are getting older. The 65-and-older population is expected to grow from around <\/span>61 million today to nearly 95 million by 2060<\/span><\/a>, which means more chronic conditions, more procedures, and greater demand for qualified care providers.<\/span><\/p>\n The problem is that the pipeline hasn’t kept up. In 2024 alone, <\/span>nursing schools<\/span><\/a> turned away more than 80,000 qualified applicants not because they lacked ability, but because there weren\u2019t enough faculty to teach them. On the physician side, residency training slots have been subject to a federally imposed Medicare funding cap since 1997, which has kept the number of new doctors entering practice from keeping up with population growth or demand. Specialized clinicians, such as respiratory therapists, surgical techs, and behavioral health workers, are in short supply almost everywhere. So when a health system does have open clinical positions, they’re often competing against dozens of other employers, sometimes offering sign-on bonuses and relocation packages just to get candidates in the door.<\/span><\/p>\n At the same time, many of those same health systems are under serious financial stress. Labor costs, already the largest expense in most healthcare organizations, continue to rise as systems rely on expensive travel nurses and agency staff. Inflation hits supply chains. Reimbursement rates from Medicare and Medicaid aren\u2019t keeping pace.<\/span><\/p>\n The result? Layoffs. But it’s worth looking at <\/span>where<\/span><\/i> those cuts tend to land. When health systems announce workforce reductions, they’re frequently targeting administrative functions, corporate overhead, middle management, or roles that were duplicated through mergers and acquisitions. They’re usually cutting revenue cycle staff or IT positions, not clinicians. From the outside, a health system announcing layoffs while posting clinical openings looks contradictory. From the inside, it’s a very deliberate triage.<\/span><\/p>\n There’s a third piece to this that often gets overlooked. Care delivery itself has changed. The growth of outpatient services, same-day surgery centers, and telehealth has shifted where patients receive care, which means the staffing model built around inpatient beds doesn’t always translate.<\/span><\/p>\n A hospital might reduce census-based nursing staff in one department while aggressively recruiting for a new urgent care clinic or a remote patient monitoring program. Those aren’t offsetting numbers; they’re different jobs, skill sets, and locations.\u00a0<\/span><\/p>\n When headcount drops, the work doesn’t necessarily decrease along with it. Remaining staff, particularly in clinical settings, absorb responsibilities that don’t disappear just because a colleague’s position was eliminated. A unit that ran with five nurses per shift now runs with four. The documentation still has to get done. The patients still need care.<\/span><\/p>\n That kind of sustained pressure compounds existing burnout. <\/span>Burnt-out employees<\/span><\/a> make more errors, disengage faster, and leave sooner. Which means the layoff intended to reduce costs can quietly accelerate the very shortage that makes hiring so expensive in the first place.<\/span><\/p>\n Layoffs send a signal, and candidates pay attention. When a health system reduces its workforce, prospective hires, especially clinical professionals with options, start asking questions. Is this organization stable? Will this role still exist in a year? Is leadership making decisions I can trust?<\/span><\/p>\n Those doubts don’t stay in the minds of job seekers. They spread on sites like <\/span>Glassdoor<\/span><\/a> and in professional networks. Hard-to-fill positions get harder to fill. And organizations that already had a recruiting problem find themselves defending their reputation before they’ve even gotten to the interview stage.<\/span><\/p>\n Stretched care teams affect how quickly patients are seen, how thoroughly care plans are communicated, and how reliably follow-ups happen. None of this shows up dramatically in a single incident. Rather, it manifests as longer wait times, missed transitions, and staff who are too depleted to go the extra mile.<\/span><\/p>\n Health systems that treat workforce decisions as purely financial moves, without modeling the downstream effects on care delivery, tend to discover those ramifications the hard way.<\/span><\/p>\n The organizations that manage this tension best don’t make staffing decisions in isolation. They’re working with data, including turnover rates, retirement projections, community health trends, and care model changes, and using it to anticipate where demand is heading.<\/span><\/p>\n That means identifying which roles are genuinely critical to patient care and organizational function, and treating them differently in restructuring conversations. Not every position is equal. Some roles, if left vacant for 90 days, create serious operational risk. Others can be restructured, consolidated, or handled differently. Strategic workforce planning makes that distinction explicit, so decisions are made with eyes open.<\/span><\/p>\n Layoffs are often the fastest answer to a budget problem, but they’re rarely the only one. Internal mobility programs, moving people from roles facing reduction into departments with open needs, can preserve institutional knowledge while responding to the same financial pressure. Cross-training existing staff creates flexibility that pays off when demand shifts unexpectedly.<\/span><\/p>\n Some organizations have had success with voluntary separation incentives for employees approaching retirement, or with flexible staffing arrangements that reduce costs without eliminating positions entirely. None of these are perfect substitutes, but they’re options that tend to leave organizations in a better position when the financial pressure eases.<\/span><\/p>\n How an organization handles workforce reductions matters not just ethically but also practically. Employees who watch colleagues being laid off without warning, without support, and without explanation don’t forget it. They become less engaged, less likely to stay, and willing to tell their professional networks about the experience.<\/span><\/p>\n Transparent communication, even when the news is hard, builds more trust than silence. Offering outplacement support and career transition resources for affected employees signals something to the people who remain: that leadership makes decisions carefully and treats people with respect. That matters enormously for maintaining morale through a difficult period, and for recruiting when conditions improve.<\/span><\/p>\n [\/et_pb_text][et_pb_button button_url=”https:\/\/explore.intoo.com\/the-employee-mindset-report\/?utm_source=website-blog&utm_medium=direct&utm_campaign=healthcare-talent-shortages-vs-layoffs” url_new_window=”on” button_text=”Is layoff anxiety affecting your workforce?” admin_label=”Button” _builder_version=”4.27.6″ _module_preset=”default” custom_margin=”16px||29px||false|false” global_colors_info=”{}” theme_builder_area=”post_content”][\/et_pb_button][et_pb_text _builder_version=”4.27.6″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” custom_margin=”-19px|||||” global_colors_info=”{}” theme_builder_area=”post_content”]<\/p>\n The tension between layoffs and talent shortages in healthcare isn’t going to resolve itself. The financial pressures are real. The clinical shortages are real. And the structural shift in how and where care is delivered will keep changing what kinds of talent health systems actually need.<\/span><\/p>\n Leaders who treat these as separate problems\u2014cost on one side, staffing on the other\u2014tend to make decisions that solve one while worsening the other. The organizations that get through this period in better shape will be the ones that look at the full picture: what they can afford, what care requires, and what their workforce needs to stay intact. That’s not a simple calculation. But it’s the right one.<\/span><\/p>\n When layoffs become unavoidable, INTOO partners with leading healthcare companies to lessen their impact on departing and remaining employees, and the organization. From flexible <\/span>outplacement<\/span><\/a> programs with unlimited coaching, to <\/span>training programs<\/span><\/a> to help teams stay resilient and agile in times of change, our solutions are built to provide the most support to everyone affected. <\/span>Contact us today<\/span><\/a> to learn more about how we can help.<\/span><\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" There are two seemingly contradictory themes occurring simultaneously in the healthcare industry.\u00a0 Some hospitals are cutting hundreds of jobs, while others are recruiting nurses and specialists across state lines just to fill open shifts.\u00a0 This is the result of overlapping pressures\u2014financial, demographic, and structural\u2014that are reshaping what hospitals need, where they need it, and what […]<\/p>\n","protected":false},"author":4,"featured_media":39594,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"The competition for skilled workers remains fierce. Businesses of all sizes are grappling with talent shortages, demanding a strategic shift in attracting, assessing, and <\/span>retaining top employees<\/span><\/a>. Navigating the contemporary job market requires a strategic and adaptable approach to hiring. The process of successfully recruiting and onboarding employees has evolved significantly, propelled by technological advancements, shifting workforce preferences, and the lasting impact of global events. Those who succeed in the hiring game understand it's not just about filling open positions; it's about building a winning team. A team that thrives fosters innovation and propels the company forward.<\/span>\n\nThis comprehensive guide equips you with the tools and insights needed to navigate the 2024 hiring landscape.\u00a0<\/span>\n\nWe provide our top tips that will help you streamline your hiring process.<\/span>\nKey Takeaways<\/span><\/h3>\n
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Why Healthcare Talent Shortages and Layoffs Are Happening at the Same Time<\/span><\/h2>\n
Demand remains high for critical healthcare roles<\/span><\/h3>\n
Financial pressures are driving workforce reductions<\/span><\/h3>\n
Healthcare workforce needs are changing<\/span><\/h3>\n
![\"A](\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2026\/07\/AdobeStock_1886410051.jpeg\")
<\/p>\nRisks of Layoffs During a Talent Shortage<\/span><\/h2>\n
Increased burnout among remaining employees<\/span><\/h3>\n
Recruiting and retention challenges<\/span><\/h3>\n
Potential impact on patient care<\/span><\/h3>\n
Strategies for Balancing Cost Pressures and Talent Retention<\/span><\/h2>\n
Invest in strategic workforce planning<\/span><\/h3>\n
Explore alternatives to layoffs<\/span><\/h3>\n
Support employees through workforce transitions<\/span><\/h3>\n
Conclusion<\/span><\/h2>\n
12 Strategies to Hire Employees Successfully in 2024<\/span><\/h2>\nAttracting and selecting the right talent for your organization involves multiple strategies, from defining a role to offering the right benefits and treating candidates with respect. Here are 12 strategies to hire employees successfully in 2024.\u00a0<\/span>\n
1. Define your ideal candidate profile<\/span><\/h3>\nDefining your ideal candidate profile is critical for successful hiring and will make the process more efficient. Before initiating the search process, meticulously outline the required skills, experiences, and personal attributes essential for the role. This involves considering technical expertise, industry-specific knowledge, soft skills, and cultural fit. Delve into the nuances of the position to pinpoint the qualities that will contribute to success within your organization. Whether it's adaptability, creativity, or a collaborative mindset, clearly articulating these criteria will guide your recruitment efforts and ensure you attract candidates who align with your company's values and objectives.<\/span>\n
![\"A](\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/11\/Untitled-design-10.jpg\")
<\/h3>\n2. Craft compelling job descriptions<\/span><\/h3>\nIn 2024, crafting compelling job descriptions is more crucial than ever. Gone are the days of generic postings; now, they must be clear, concise, and engaging to attract the right candidates. These descriptions should not only outline the role's purpose and responsibilities but also convey the potential impact the successful candidate will have on the team and the organization as a whole. Incorporate relevant keywords to optimize searchability. Moreover, use the job description as an opportunity to highlight your company culture, values, and what makes it a special place to work. By presenting an authentic and appealing portrayal of your organization, you'll attract a diverse and qualified talent pool that resonates with your mission and vision, setting the stage for successful recruitment and long-term employee satisfaction.<\/span>\n
3. Leverage diverse recruitment channels<\/span><\/h3>\nLeveraging diverse recruitment channels is imperative to reach a vast pool of qualified candidates. Expand beyond traditional job boards by utilizing professional networking platforms like LinkedIn, attending industry events and job fairs, and forging partnerships with universities and colleges renowned for relevant programs. Moreover, explore niche job boards tailored to specific demographics or skill sets to tap into specialized talent pools. A multi-pronged approach maximizes visibility and engagement, increasing the likelihood of attracting top-tier candidates who align with your organization's needs and values. By diversifying your recruitment strategy, you enhance the chances of finding the perfect fit for your team while staying ahead in the competitive job market.<\/span>\n
4. Utilize artificial intelligence (AI)<\/span><\/h3>\nIncorporating artificial intelligence (AI) into recruitment processes offers substantial benefits. AI-driven platforms leverage predictive analytics to identify top candidates, automate repetitive tasks, and customize the candidate experience. These tools streamline resume screening, candidate sourcing, and interview scheduling, expediting the hiring process. Moreover, AI minimizes unconscious biases in decision-making, ensuring fairer evaluations. By investing in AI-driven recruitment platforms, you can significantly reduce time-to-hire, improve efficiency, and enhance the quality of hires.<\/span>\n
5. Refine your interview process<\/span><\/h3>\nThe interview process is an important step in the relationship with the candidate. In 2024, ditch the outdated formats and prioritize a candidate-centric approach. Here's how to revamp your strategy:<\/span>\n
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6. Focus on behavioral interviewing<\/span><\/h3>\nBehavioral interviewing ditches hypothetical questions for a dive into a candidate's past experience. Instead of \"How would you handle a difficult client?\" you ask, \"Tell me about a time you faced a challenging customer.\" Focusing on specific situations (e.g., a tense negotiation or a looming deadline) gives you a richer picture of their skills. Did they stay calm under pressure? Did they think creatively to solve the problem? Their past actions become a springboard to assess how they might handle similar situations in your role. This approach helps predict future performance by uncovering their problem-solving strategies, decision-making tendencies, and work ethic showcased in real-life scenarios.<\/span>\n
7. Ask about the candidate's goals and ambitions<\/span><\/h3>\nUnderstanding a candidate's long-term plans can be a powerful tool in your hiring decisions. Here's why:<\/span>\n
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8. Look at the candidate's hard and soft skills<\/span><\/h3>\nEvaluating both hard and soft skills is essential to finding the perfect fit for your role.\u00a0<\/span>\n
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9. Prioritize employer branding<\/span><\/h3>\nIn today's competitive talent market, your company brand isn't a bonus; it's a necessity. A <\/span>strong employer brand<\/span><\/a> acts like a magnet, attracting the best and brightest. Conversely, a poor employer brand can negatively affect your hiring strategy, especially if it results in bad reviews on sites like Glassdoor. So, how do you build a great one?<\/span>\n
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10. Offer competitive compensation and benefits\u00a0<\/span><\/h3>\nWell-designed <\/span>compensation and benefits<\/span><\/a> packages are a significant draw for top talent in a competitive job market. To stand out, you need to be strategic. Here's how:<\/span>\n
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11. Embrace remote and hybrid work models<\/span><\/h3>\nThe remote work revolution is here to stay. Top talent in 2024 prioritizes flexibility and work-life balance. Offering remote or hybrid work models allows you to:<\/span>\n
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12. Invest in candidate experience<\/span><\/h3>\nInvesting in candidate experience isn't just courteous; it's smart business. The hiring process shouldn't feel like a black hole for applicants. Invest in creating a positive experience from start to finish. Here's how:<\/span>\n
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![\"A](\"https:\/\/www.intoo.com\/wp-content\/uploads\/sites\/5\/2023\/11\/Untitled-design-12.jpg\")
\n\nBy prioritizing these aspects, you'll gain a reputation for treating candidates well. This builds brand loyalty and increases the likelihood of attracting top talent who will advocate for your company. Remember, a positive candidate experience can turn disappointed applicants into future brand ambassadors.<\/span>\nHow to Hire Employees: FAQs<\/span><\/h2>\n
What is the best way to hire employees?<\/span><\/h3>\nThe best way to hire employees involves a structured approach. Begin by defining the job requirements clearly and crafting a compelling job description. Utilize multiple recruitment channels, including job boards, social media, and employee referrals, to attract a diverse pool of candidates. Screen resumes to identify qualified candidates and conduct structured interviews to assess their skills, qualifications, and cultural fit. Check references to gain insights into their past performance and professionalism. Consider administering skills assessments or tests as needed. Maintain transparent communication with candidates throughout the process and make a well-informed hiring decision based on all relevant information gathered.<\/span>\n
How do I create a hiring plan?<\/span><\/h3>\nA hiring plan is your roadmap to finding the right talent. Here's a quick guide to get you started:<\/span>\n
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