How Increasing Labor Costs Impact Kentuckians’ Access to Healthcare

Like every industry across the nation, Kentucky hospitals and healthcare systems continue to face critical workforce shortages, exponential growth in their labor costs and ongoing dependency on temporary staffing. However, unlike other industries, when it comes to hospitals, this ever-increasing burden has a significant impact upon Kentuckians’ access to the healthcare they need.

With unprecedented increases in hospital labor costs along with the significant inflation faced by the entire nation, the economic vitality of the Commonwealth’s hospitals is in danger. As one of the major employers and economic drivers in the state, these burdens can impact the entire economy of Kentucky.

To address the significant nursing workforce shortage, Kentucky hospitals are coping with extraordinary expenditures to retain staff and fill vacancies, including premium pay, and the extremely high-cost contract labor.