Access to global talent enables companies to broaden their talent search, build business continuity across geographies, and shift cost structures.
The U.S. healthcare labor market is in crisis. Labor shortages are expected to continue for the next 5 to 10 years as a result of the pandemic.
Taking the hardest hit: positions at the low end of the wage spectrum. It’s predicted that 6.5 million employees will permanently leave their positions by 2026 with only 1.9 million people replacing them.
To counter the labor shortage, more and more healthcare companies are starting to take advantage of the global talent pool. Access to global talent enables companies to broaden their talent search, build business continuity across geographies, and shift cost structures.
Critical to the successful use of the global talent pool is deciding on a hiring model that makes the most sense for your organizational goals. Here are four of the most common ways companies are mobilizing global staff, along with some of their strengths and weaknesses.
1. Hiring freelancers
Freelance websites like Upwork and Fivver are now incredibly common. Their appeal is giving companies access to a global talent marketplace when searching for employees—whether part-time or full-time—that can immediately fulfill their needs. Freelance websites are great for small businesses with a small or niche need, however, become challenging at scale.
2. International Professional Employer Organization (PEO) or Employer of Record
International PEOs do the same things that a local PEO would do, except in a different country. These organizations make it easy for companies to be compliant with local laws when hiring globally. They do not, however, help with management, recruiting, and other things that make global teams successful.
3. Traditional Outsourcing
In a traditional outsourcing model, the vendor performs a service for the end customer. Services in a traditional outsourcing model include things such as medical billing, medical coding, eligibility verification, bookkeeping, and customer support. This model is incredibly common with its low effort. This model, however, has a bad reputation because of its lack of control, visibility, and flexibility.
Co-sourcing is a modern spin on traditional outsourcing. It can even be thought of as an International PEO service, with just a little bit extra. Co-sourcing was created to address the pain points in both traditional outsourcing and International PEO models. Co-sourcing is the closest companies can get to creating their own offshore subsidiary at a scale that makes sense for them. In a co-sourcing approach, we help healthcare organizations hire dedicated medical billing specialists, nurses, accountants, reporting analysts, patient support personnel, and more.
The use of global talent is shaping the way healthcare companies hire and retain the employees they need to succeed. The four methods discussed will help different company types and sizes have success in combating the labor shortage.
As the Director of Client Services at Connext Global Solutions Taylor Goucher uses the leadership, operations management, project management, consulting, and data analysis skills gained while serving in the U.S. Army. He is responsible for leading Connext’s business development and sales efforts while assisting with different account management tasks. Founded in 2014, Connext helps companies hire, train, and manage talented offshore teams to help them grow and thrive in any economic environment.