I just read another article in the January/February issue of Healthcare Finance News entitled, “Healthcare hiring could boom in 2010,” by Richard Pizzi, the editor. According to this article the demand for healthcare professionals in 2009 was stronger than any other sectors. According to the Federal Bureau of Labor Statistics, healthcare has added over 600,000 jobs since the start of the recession. Unfortunately on the very next page there is an article entitled, “You thought 2009 was challenging,” by Scott Downing, whereby he indicates that in 2009 hospitals had their fiercest fight laying off employees, curtailing expenditures and experiencing unparalleled bottom line shortfalls. Mr. Downing goes on to say that these same stress provoking factors that hospitals grappled with in 2009 will continue through 2010 and beyond and that hospitals will have to do more with less.

In my opinion I am not sure hospitals knew what they did in 2009 or why they did it. Those that laid off workers in 2009 blame the recession when in fact they were probably overstaffed to begin with but the economy became an easy way to post blame and justify these layoffs. Now were are entering 2010, I still believe hospitals don’t know what they are going to do when it comes to making smart business decisions and doing more with less. As a consultant and in talking with several prospective clients I am seeing the age old trend that everything has a way of working itself out. This old adage may be true but is this really the way hospitals should be run? I don’t think so, but let’s wait and see. Hopefully hospitals and executive staffs will step up to the plate and tackle the tough decisions that will have to be made regarding staffing, Information Technology, AARA funding requirements, pay for performance and quality care issues.

-Bruce Jacobs
Director, Financial Management Services