Over the last few years, hospitals have had no choice but to shift much of their focus to finances and to their bottom line. Last year, in 2022, hospitals had one of their most difficult years ever. Billions of dollars in government support from the CARES Act ran out. Yet, hospitals still had to manage covid surges, pent-up surges of other viruses, plus a huge run-up in staffing costs, capped by inflationary pressures on everything from food to janitorial supplies. It’s not clear yet whether this year will be better—only that there are additional headwinds. Chief among these is the millions of people losing Medicaid coverage as a result of the end of the Public Health Emergency. But it’s not just difficult circumstances. There’s a fundamental problem with the way the hospital business works in America, essentially that hospitals are non-capitalist organizations operating in a capitalist system. On the cost side, hospitals are subject to market forces just like anyone else. Over the past two years, they have had to pay more for doctors, nurses, and their other frontline workers.
THE BOTTOM LINE FOR OUR HOSPITAL PARTNERS — ISSUE #16
The future remains uncertain, but Core's ability to rise amidst chaos and prioritize quality reaffirms our stability.