What You Should Know:
– Today ShiftMed, one of the largest W-2 healthcare workforce management platforms, announced $200M in funding led by Panoramic Ventures with participation from Blue Heron Capital and Audacious Capital.
– ShiftMed plans to use the latest round of funding to help solve healthcare workforce issues across a variety of care settings, with an emphasis on expanding into health systems.
Flexible Solution for Staffing Shortage
Historically, traditional staffing providers have focused on the travel nursing segment due to the high margins where several large players control the market. Travel nursing rates continue to exceed the budgets of national healthcare providers, which is unsustainable. The sector has grown from $8B in 2020 to more than $13B in 2022. Travel nurse providers are bleeding hospital system budgets while demoralizing in-house teams paid at lower rates.
“Healthcare providers continue to struggle with access to credentialed workers as patient needs and volume continues to rise,” said Todd Walrath, CEO of ShiftMed. “ShiftMed is positioned to provide health systems with a regulatory compliant W-2 solution that leverages local and part-time resources.”
In comparison to other costly workforce solutions, like travel nursing, ShiftMed provides access to a database of over 350,000 W-2 healthcare professionals to offer health systems a unified solution to their workforce that increases retention, creates flexible work opportunities, and decreases reliance on travel agencies.
ShiftMed provides access to a local marketplace with more than 350,000 credentialed W-2 healthcare workers and an automated workforce management platform that uniquely enables acute, post-acute, and in-home providers to manage their resources dynamically. By using mobile and cloud-based software that provides workforce optimization, health systems are able to offer a modern, unified solution to their workforce that increases retention, creates part-time work opportunities, and decreases reliance on travel agencies. ShiftMed also provides access to additional local staff, reducing operating costs by 30-40% compared to travel staffing alternatives.
“By diminishing reliance on travel nurses, ensuring a compliant W-2 workforce, and providing tools to increase retention, we see a path for large health systems to change the labor framework to give them control and predictability,” added Walrath.