Use of Locum Tenens Rises with Economy Downturn and Physician Shortage

• ShareThis Email PDF Print

Alpharetta, GA (Vocus) August 19, 2010

Given the current, escalating physician shortage and financial cut-backs many hospitals are experiencing, the use of locum tenens as a cost-effective staffing model is gaining traction, according to the latest Jackson & Coker Industry Report (JCIR).

“Locum tenens has always been a valuable option for filling staff vacancies,” observed Sandra Garrett, Jackson & Coker’s president. “With the current economy, it’s more important than ever to maintain uninterrupted patient care—and, correspondingly, patient satisfaction—as well as revenue streams for major service lines. Using locum tenens providers judiciously has proven to be a cost-effective solution for many hospitals and medical groups,” she explained.

Featured in the current issue of JCIR is a special report entitled “Locum Tenens—Cost Effectiveness and Return on Investment.” The report details the impact of the current physician shortage--as compared to the number of advertised position opportunities, the number of graduating residents, and the number of physicians who relocate annually.

The study points out distinct benefits associated with the use of locum tenens as a staffing model:

•     Contract providers can help shore up a medical practice’s bottom line by providing continuity of patient care, especially in critically important service lines.
•     Generally speaking, using locum providers costs less on a daily basis than the revenue that they are associated with generating.    
•     Family Medicine, Cardiology, and Gastroenterology are named in the study as specialties that are associated with a notable return on investment when daily cost and financial contribution are compared.
•     Another “intangible” benefit of using locum contractors is relieving “doctor burnout” –thus avoiding putting patients at risk when treated by over-worked physicians.
•     Locum providers also help to reduce the effects of physician attrition in that they easily fill the manpower shortages while hospitals or medical practices seek permanent hires.
•     Medical organizations can also use locum providers cost-effectively to test expansion of service lines or the introduction of new services.

The current Jackson & Coker Industry Report also provides a link to the 2010-2011 Provider “Contribution to Operation” Percentage Calculator. It allows users to tabulate physician specialists’ hourly and annual compensation, gross and net revenue, physician population count, and provider contribution. This data enables administrators to measure overall return on investment associated with different service line providers.

“We’re quite pleased with the favorable response we’ve received from those who have used our handy ROI calculator,” said Ms. Garrett. “Using this valuable tool enables medical administrators to make some determination of a doctor’s financial worth to their practice. Such information is critical in planning for short-term or long-term vacancies or engaging in a search for a full-time staff member,” she noted.
The special report and online ROI calculator can be accessed at http://www.jacksoncoker.com/physician-career-resources/newsletters/2010-july.aspx.

Request for a hard copy, slide-rule version of the calculator can be directed to Danise Stewart at dstewart (at) jacksoncoker (dot) com.

About Jackson & Coker
Begun over three decades ago, Jackson & Coker has been a leader in physician recruitment through the placement of physicians in both permanent placement and locum tenens physician jobs. The firm specializes in anesthesiology jobs, CRNA jobs, neurology jobs, psychiatry jobs, surgery jobs, primary care jobs as well as emergency medicine jobs. Headquartered in metro Atlanta, the firm has earned a reputation for providing cost-effective, time-sensitive solutions to both government and commercial health care organizations. The recruitment staff works in two divisions of the company: Retained Search, which places physicians in over 40 medical specialties in permanent staff positions, and locum tenens, a staffing model that recruits medical providers (physicians and CRNAs) for temporary vacancies.

Jackson & Coker has earned a “Gold Seal” designation as a “Certified Health Care Staffing Service” by the Joint Commission and is affiliated with a credentials verification organization (JH CVO) that has received certification by the National Committee for Quality Assurance (NCQA) in ten out of ten credentialing elements.

Jackson & Coker participates in social media networks such as Facebook, LinkedIn, YouTube and Twitter—including managing separate Twitter sites focused on major medical specialties.
The firm is a member of a “family of companies” known as Jackson Healthcare, also headquartered in Alpharetta, Georgia.

About Jackson Healthcare
Founded by the healthcare innovator Richard Jackson, Jackson Healthcare serves more than two million patients in nearly one thousand hospitals each year. The Jackson family of companies provides physician and clinician staffing, anesthesia management, hospital management and healthcare information technology solutions proven to improve clinical and financial outcomes, as well as increase operational efficiency. Jackson Healthcare has earned national media coverage for its physician polls and champions local and international charitable work. In addition, Jackson has been recognized as one of the fastest growing staffing companies in the country by the Inc. Magazine, Atlanta Business Chronicle, Georgia Trend and Staffing Industry Analysts. For more information about Jackson and its companies, visit Jacksonhealthcare.com. Jackson’s research reports are available in the “Market Research” section under the upper tab “Media Room” on the home page.

Media Contact:
Edward McEachern
Jackson & Coker
emceachern (at) jacksoncoker (dot) com
678-277-3030

###

Share: