While travel nurse demand has been softer than anticipated, the locum tenens segment of the healthcare staffing industry has continued to see solid demand.

US locum tenens revenue rose 17% in 2023, with SIA projecting growth of 12% in 2024 and 5% next year, according to the US Staffing Industry Forecast: September 2024 Update.

Here are three recent trends in locum tenens from SIA’s Locum Tenens Market Growth Assessment: 2024 Update report.

Growth Drivers

A primary driver of growth in the locum tenens segment of the healthcare sector is the aging population. The number of older individuals with health problems will increase, resulting in increased demand for medical care for multiple comorbidities. These individuals will require complex care plans and treatment. In addition, the prevalence of chronic conditions such as diabetes, cancer and heart disease are also rising, necessitating physician-supervised care.

However, one factor that is helping to ease the load on physicians is that advanced practice providers are increasingly managing cases that were historically managed by physicians. Nurse practitioners and physician assistants have become integral to the healthcare workforce, stepping in to maintain continuity of care as older physicians retire. These professionals play a crucial role in bridging gaps in patient care, ensuring that the growing demand for medical care can be met despite demographic shifts in the physician population.

Growth in temporary staffing of advanced practitioners has been a boon for locum tenens, with staffing revenue for such positions growing 23.8% year over year in the first half of 2024, according to SIA’s most recent Advanced Practice Staffing Benchmarking Survey.

Strategic Workforce Planning

Another driver of growth for locum tenens demand is the aging workforce of physicians themselves. According to a recent study by the Association of American Medical Colleges, the physician specialties that have the greatest share of physicians aged 55 and above include:

• Pulmonary disease, 92.4%
• Preventative medicine, 71.4%
• Pathology, 70.9%
• Cardiovascular disease, 64.9%
• Thoracic surgery, 62.7%

These physicians will exit the workforce in the near future and new physicians and advanced practice providers will need to timely fill these roles. Proactively addressing potential gaps helps develop strategic workforce plans and ensures continuity of care — an important role in maintaining the stability and quality of healthcare services across various specialties.

Burnout and Strategies to Improve Well-Being

Lastly, temporary physicians and advanced practitioners are sometimes being used as part of a multi-pronged effort to reduce physician burnout, which is currently at concerning levels.

According to the 2024 Survey of America’s Current and Future Physicians report published by The Physicians Foundation, there is an urgent need to alleviate impediments to physician well-being. Taking all specialties into consideration, physicians under the age of 45 experienced higher rates of burnout and have lower well-being than physicians over the age of 45.

Multiple factors negatively impact well-being for younger physicians including a struggle to balance work demands and family responsibilities; administrative duties that prove more challenging for younger, less experienced physicians; and less developed stress management strategies.

In addition, primary care physicians ranked higher than specialist physicians when asked about seeking medical attention for a physical problem at 21% and 16% respectively, indicating that primary care physicians generally experience higher rates of burnout compared to specialists. This may be related to primary care physicians having sustained stressful interactions with patients and having less control over their work environment.

Studies have found that certain types of programs and support have been effective in reducing physician burnout and increasing wellness. Reducing administrative burdens was a top strategy, followed by peer-to-peer support groups, confidential therapy and burnout prevention training. By addressing these areas, insurance companies, health systems and staffing firms can collectively contribute to reducing physician burnout and improving overall wellbeing, leading to better patient care and a more sustainable healthcare workforce.

For a deeper dive into the locum tenens staffing market, SIA corporate members can read the Locum Tenens Market Growth Assessment: 2024 Update report.