How the Gig Economy Changed the Future of Healthcare in the US
Published on Mar 27, 2023. Updated on May 3, 2023.
Introduction
Established as an easy and flexible way to add a little extra income during the financial crisis of 2009, the gig economy has radically changed how we handle employment. Statista reports that by 2027, over 50% of the US workforce will likely participate in the gig economy. And while people tend to associate the idea with ridesharing or food delivery, the gig economy has firmly established itself in the healthcare sector, providing some vital relief to health systems and hospitals by connecting them with traveling nurses, doctors, therapists, and other healthcare workers during the COVID-19 pandemic and beyond.
Healthcare and the gig economy
While traveling healthcare workers have been around for decades, the COVID-19 pandemic took demand to a whole new level as the increase in telehealth and other alternatives became the norm. The number of healthcare providers skilled in telemedicine doubled from 2015 to 2018, and since 2020 up to fifteen times that amount of telemedicine hours have been booked.
And as more staff sought out alternative careers, healthcare systems were left scrambling, with hospitals relying on supplemental staffing to cope with the shortages caused by increased levels of burnout and illness. Now, in a post-pandemic world, it just makes sense to continue to expand the use of non-traditional staffing options.
Advantages of gig work in healthcare
One of the biggest advantages of the gig economy is the flexibility and autonomy workers have when it comes to both when and where they work. Contract healthcare workers often take assignments ranging from a month to three months and then take a month or more off. Traveling workers also aren’t typically required to attend as many meetings or participate in committee work resulting in lower stress levels and improved job satisfaction.
Additionally, healthcare-focused gig work typically provides more flexible hours and pays more than traditional full-time work, even when working fewer hours. Full-time healthcare workers can use gig work to supplement their income, pay off debt, and expand their professional network.
Telehealth and traveling healthcare work also benefits patients by providing easier access to personalized care for rural or socially-isolated patients. According to a 2020 JMIR study, gig worker-based systems allow patients to make on-demand appointments and enable more provider choices for patients: “In a gig mHealth system, the doctors can register on a gig economy platform, and the registered patients can access the doctor’s/physician’s profiles and book an appointment within minutes. This can enable the freedom of access to health care for the patients 24 hours a day and 7 days a week in any place.”
The challenges of gig work in healthcare
There are some drawbacks to gig work. First, there’s an inherent level of uncertainty to it. Positions and income can be inconsistent, which can be nerve-wracking. Additionally, many gig jobs don’t provide benefits, requiring workers to purchase their own or have other insurance options.
And while gig work often helps decrease burnout, it can be problematic for those who get caught up in the hustle or have people-pleasing mindsets. It can be difficult for some people to say no when an employment opportunity surfaces, especially when they don’t know when their next assignment will come along.
Lastly, needing to become licensed in various states can be a barrier for people looking to get into gig work. There can be complications with the regulatory and licensing requirements healthcare workers face, depending on which states they work in. Make sure to check the licensure requirements before signing up!
Impact of the gig economy on healthcare organizations
Amid staffing shortages and changes in the healthcare landscape, organizations have had to adapt and embrace gig workers. Many hospital systems have redesigned their work processes for better onboarding and collaboration with traveling or telehealth workers.
“In many cases, they are changing care models, including creating internal staffing agencies and new float pool approaches,” says Susan Pasley, MS, BSN, RN, VP of clinical solutions at CareRev.
Because labor costs are one of the highest expenses in healthcare, contracting with a pool of traveling workers can lower costs by removing the middleman when hospitals have staffing shortages.
In addition, relying more on telemedicine, for example, can help patients receive the care they need more quickly and without the need for an exam room or office. A win-win for everyone.
The future of gig work in healthcare
As the gig economy expands into other industries, healthcare systems must continue to adapt their models to accommodate the changing needs of the workforce and to attract top-tier talent. Traditional workers will observe and demand the flexibility and better pay that gig work offers. Healthcare organizations will need to provide more or better benefits to conventional full-time employees so they aren’t tempted to change positions.
In addition, artificial intelligence and machine learning will continue to change the nature of healthcare and gig work by supplementing the traditional healthcare system with technologies that can predict disease, provide diagnoses, and individualize treatment.
Conclusion
As the landscape changes and gig workers become an even more significant portion of the healthcare workforce, employers must continue to embrace these new employee types while also maintaining high standards. By working with, rather than against, the gig economy, hospitals, individual medical practices, and healthcare systems can offer a better quality of care to patients while also keeping both full-time and traveling staff members happy with their jobs.
Resources
https://builtin.com/artificial-intelligence/machine-learning-healthcare
https://www.huronconsultinggroup.com/insights/gig-economy-healthcare
https://www.physicianleaders.org/articles/physicians-and-the-gig-economy
https://www.healthleadersmedia.com/nursing/how-gig-economy-has-shifted-future-healthcare-work
