Healthcare hiring has become more difficult in the past several years due to a number of factors- a persistent skills gap coupled with a pending retirement surge. This has left healthcare organizations to compete for candidates in order to meet growing patient demand. Current demand outpaces supply by two to one. In response, 83% of hospitals have established contingent labor programs. Another 71% also partner with a managed service provider to manage these programs. They have done so to not only relieve overburdened staff but to also evaluate contingent labor as potential new hires. Often, the idea of conversion comes from their managed service provider partner. Could the contingent workers in your program be your next great healthcare hire?
The Benefits of Converting Contingent Labor to Full Time Staff
When healthcare hiring remains a challenge, contingent labor could be the answer to hiring difficulties. Health systems that have embraced contingent labor often also partner with a managed service provider who recommends conversion strategies as a method for cost savings, talent retention, and more. Consider the following benefits your health system can obtain by converting contingent labor into full time healthcare staff:
- Reduced onboarding and training time. When making a new hire, health systems often have a significant period of training and onboarding, during which they need to familiarize new hires with processes and systems. By converting contingent labor into full time employees, health systems are able to obtain a new hire that is already familiar with both the communicated processes and those that are uncommunicated and learned on the job. This can save significant time and money for a health system hoping to get the most out of their new hire.
- Cultural fit. Each health system location has a different organizational culture with various hard skills and soft skills emphasized. If a contingent worker has proven to be a standout candidate possessing these skills during their engagement, they have already adapted to the location’s unique culture. Converting contingent labor that have been successful during their engagement ensures that this new hire is a strong cultural fit aligning with the valued hard and soft skills at a health system location. The odds of the new hire leaving due to poor cultural fit diminish. Hiring a strong cultural fit can also reduce rates of employee turnover, which can threaten patient safety and care.
- Proven skills and abilities. Many health systems actively engage contingent labor to evaluate them as potential healthcare hires. If healthcare contingent workers are successful during their engagement, they’ve demonstrated skills and abilities necessary to perform the job. Converting these workers into full time employees can encourage more successful hiring because they have already proven their skills and abilities. Health systems do not need to guess whether they are making a poor hire because they are evaluating a candidate over a longer timeline instead of in a single 60 minute interview. This information is more valuable to the health system, enhancing their hire.
- Reduced fees. As contingent labor programs grow, health systems often discover they are paying significant fees to suppliers. By converting contingent labor into full time employees, health systems are able to reduce these fees, often saving 10% or more. This can reduce swelling budgets that can be better invested in patient care.
- Faster start times. When making a new healthcare hire, time to hire can be longer than anticipated. Often, this is the result of availability of talent, fragmented hiring processes, prescreening, compliance checks, and lengthy onboarding and training processes. By converting contingent labor to full time employees, health systems can obtain a faster start time and drastically reduce time to hire.
- Improved healthcare compliance. Health systems are beholden to a myriad of compliance requirements- federal, state, and agency regulations that could threaten their operations if they don’t comply. Hiring new candidates must therefore include a scrutiny into healthcare compliance documentation such as credentialing. By converting contingent labor into full time employees, health systems working with a vendor neutral managed service provider such as RightSourcing can be assured they’re gaining an employee who is in full possession of the necessary compliance documentation. This is because their managed service provider partner is invested in ensuring all candidates are in possession of the necessary compliance documentation prior to start date. This can speed up the hiring process as well as encouraging a more successful hire.
During the healthcare skills gap, great candidates can be difficult to obtain. By converting contingent labor into full time staff, health systems can gain a variety of benefits that far outweigh hiring an unknown candidate. Consider how you can establish paths to conversion in your contingent labor program by contacting RightSourcing today for a free workforce analysis.
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