How Private Equity-Backed Staffing Companies Impact Providers

Private equity firms have invested in a record number of clinical staffing companies since 2020 and some doctors worry health systems’ use of these companies could mean higher patient loads and understaffing. Nonprofit health system Ascension’s decision to turn staffing at 10 Chicago-area hospitals over to private equity-owned SCP Health exemplifies systems’ use of these companies and physicians’ concerns. Opponents of the deal — namely, affected employees — argue that contracting with the private equity-backed staffing company will lead to worse patient care outcomes and, likely, lower provider pay. Here’s what to know about how private equity’s growing influence on healthcare staffing.

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Source: https://www.modernhealthcare.com/providers/private-equity-staffing-firms-hospitals

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