U.S. Healthcare Staffing Market Analysis & Forecast: 2025-2032

U.S. Healthcare Staffing Market Trends & Growth – 2025 to 2032

U.S. Healthcare Staffing Market is estimated to be valued at USD 22.81 Bn in 2025 and is expected to reach USD 28.82 Bn in 2032, exhibiting a compound annual growth rate (CAGR) of 3.4% from 2025 to 2032.

Key Takeaways

• Based on Service Type, Travel Nurse Staffing segment dominates the market by 34.1% of the global market share, due to workforce shortages and cost-effectiveness.

Market Overview

 The U.S. healthcare staffing industry is witnessing steady growth fuelled by a combination of demographic changes, increased demand for health care services, and steady shortage of health care professionals. An emerging elderly population, rising incidence of chronic conditions, and increased availability of medical care have served to place tremendous strain on current medical facilities, hence further increasing the demand for trained clinical and non-clinical experts. Hospitals, clinics, and long-term care facilities are increasingly relying on the services of staffing agencies to supplement serious gaps, particularly in underserved areas and high-needs specialties like emergency medicine, intensive care, and geriatrics.

Current Events and Its Impact

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Role of AI (Artificial Intelligence) in U.S. Healthcare Staffing Market

Artificial Intelligence (AI) is revolutionizing the U.S. healthcare staffing market by addressing critical challenges such as clinician shortages, administrative burdens, and workforce inefficiencies. In February 2024, SHIFTit Health launched its alpha version in Silicon Valley, aiming to transform the way healthcare facilities, including home health agencies and hospitals, connect with medical professionals for shift coverage. Traditional staffing models often lead to high costs and inefficiencies, but SHIFTit Health offers a direct-to-professional solution. The platform, featuring the ProConnect web app for facilities and a mobile app for professionals, leverages advanced AI technology to streamline and optimize the staffing process, ensuring greater efficiency and cost savings.

Segmental Insights

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U.S. Healthcare Staffing Market Insights, By Service Type:  Travel Nurse Staffing Dominates the Overall Market

This significant share reflects the growing demand for temporary and flexible healthcare professionals in a wide range of clinical settings. Travel nurses are often called upon to fill gaps in hospitals and healthcare facilities, particularly in regions experiencing staffing shortages, peak demand periods, or specialized needs. Their ability to quickly adapt to new environments and roles makes them a valuable asset in healthcare systems worldwide. According to an article by Arthur Lawrence, there are currently over 1.7 million traveling nurses in the U.S., with women making up 84.1% of the workforce and men accounting for 15.9%. The average age of a traveling nurse is 43, and the majority are White, representing 65.8% of the total.

Apart from this, the aging population, which places additional strain on healthcare facilities, and the heightened demand for skilled professionals in underserved areas. Additionally, the flexibility offered to travel nurses, in terms of location and work schedules, attracts a growing number of professionals seeking variety and adventure in their careers. Furthermore, healthcare institutions are increasingly relying on travel nurse staffing to ensure consistent and high-quality care delivery without the long-term commitment associated with permanent hires. As a result, the travel nurse staffing segment is poised for continued growth, with an increasing number of healthcare organizations leveraging this model to meet their staffing requirements effectively.

U.S. Healthcare Staffing Market Drivers: 

Shortage of healthcare staff to augment market growth

One of the key factors expected to augment the U.S. healthcare staffing market growth during the forecast period is the shortage of healthcare staff across the country. For instance, hospitals are currently facing shortages of registered nurses. According to the Association of American Medical Colleges (AAMC), there will be a shortage of around 21 to 55,200 primary care doctors by 2032. Moreover, the country will face a shortage of up to 124,000 physicians by 2034, including 48,000 primary care physicians, according to AAMC. This in turn is expected to propel the growth of the U.S. healthcare staffing market during the forecast period.

Rising prevalence of chronic disease to drive market growth

Another factor which is driving the growth of the U.S. healthcare staffing market is the increasing prevalence of chronic disease in the U.S. For instance, such a high burden of chronic diseases leads to an increase in number of surgical procedures, which in turn increase the demand for healthcare services or staffing. Approximately 129 million individuals in the United States are affected by at least one major chronic condition (e.g., heart disease, cancer, diabetes, obesity, hypertension), according to estimates from the US Department of Health and Human Services. This is further adding to the U.S. healthcare staffing market share.

U.S. Healthcare Staffing Market Opportunities:

The rising number of healthcare facilities in the United States is expected to provide significant growth opportunities for players in the U.S. healthcare staffing market. Data from the Federal Reserve Bank of St. Louis shows that total construction spending on healthcare facilities in the U.S. hit a seasonally adjusted annual rate of nearly USD 54 billion in November 2022, up from USD 43.3 billion in November 2017, reflecting an annual growth rate of approximately 4.5%. Federal Government also provide dedicated funding for the modernization of America’s hospital infrastructure. As per the American Hospital Association (AHA), currently, there are about 6,093 hospitals in the United States. This in turn is expected to drive growth of the market.

U.S. Healthcare Staffing Market Trends: 

Rise in demand for travel nurses is a recent trend

Travel nurses help fill gaps in areas where there is shortage of nurses. Travel nurses are skilled or trained healthcare professionals who work on short-term roles or temporary assignments at clinics, hospitals, and other healthcare organizations worldwide. According to the study conducted in April 2021 by Zippia, Inc., there were 1,696,386 traveling nurses employed in the United States in 2020. This trend is expected to continue over the forecast period.

Growing geriatric population is another trend

Growing geriatric population is leading to increasing demand for medical services and shortage of nurses and other medical staff. Geriatric population is more suspectible to diseases and infections, leading to long-term hospitalization. People over 65 are three times more likely to have a hospital stay and twice as likely to visit physician's office, compared with the rest of the population. As per the U.S. Census Bureau, the number of adults aged 65 or older to grow an estimated 80% between 2020 and 2030. This trend is also expected to continue over the forecast period.

U.S. Healthcare Staffing Market Restraints: 

Stringent rules and regulations to hinder market growth

One of the key factors expected to hamper the growth of the U.S. healthcare staffing market is the stringent rules and regulations. New laws or regulations at both the state and the federal level may negatively affect healthcare facilities across the U.S. For instance, the National Nursing Shortage Reform and Patient Advocacy Act mandates maintaining minimum nurse-to-patient ratios for each unit of the healthcare facility or else they would face penalties for failing to maintain these legally defined ratios. This in turn is expected to hamper the market growth.

Market Report Scope

U.S. Healthcare Staffing Market Report Coverage

U.S. Healthcare Staffing Market: Key Developments

• In February 2025, TrueBlue, the fifth-largest industrial staffing company in the U.S., announced that it is expanding into the healthcare staffing sector by acquiring Healthcare Staffing Professionals.
• In December 2024, Tandym Group, an IT and locum tenens staffing provider based in New York, announced a shift in its clinical healthcare business. The company has partnered with Everly Talent, a recruitment firm from Greenwich, Connecticut, founded by women. Everly Talent will now handle direct-hire positions for nursing, allied health, social services, leadership, and corporate roles in the healthcare and non-profit sectors.
• In September 2024, Jackson Healthcare, a U.S.-based healthcare staffing company, introduced Jackson HealthPros™, the latest addition to its network of specialized healthcare staffing and technology companies.
• In March 2024, Jackson Healthcare® unveiled Venn, the latest member of its network of specialized healthcare staffing and technology companies.

Analyst Opinion (Expert Opinion)

• A critical factor shaping the U.S. healthcare staffing market is the ongoing shortage of healthcare professionals. The U.S. is projected to experience a shortage of more than 100,000 physicians by 2030, a trend fueled by the aging baby boomer population, which will require an increasing number of healthcare services. Currently, around 30% of U.S. healthcare workers report feeling burnout, with nurses particularly impacted by these pressures. In fact, 17% of nurses quit their jobs within the first year of employment, contributing to a high turnover rate within the industry.
• According to the American Nurses Association (ANA), the nurse shortage in the U.S. has worsened, with nearly one in five nurses planning to leave the profession within the next year. This has increased demand for staffing agencies specializing in providing temporary or contract-based nurses to hospitals and healthcare facilities. As of 2024, temporary nursing agencies are seeing a 25% increase in the demand for travel nurses compared to pre-pandemic levels, with hospitals increasingly relying on staffing solutions to fill critical gaps in workforce availability.
• Regulatory frameworks are also impacting the healthcare staffing market. Recently, states such as California and New York have introduced stricter mandates concerning nurse-to-patient ratios and working conditions, which has driven hospitals to recruit more staff to comply with these standards. For instance, California's Nurse Staffing Ratios Law requires a minimum nurse-to-patient ratio in all hospitals, forcing healthcare providers to turn to temporary staffing agencies to meet these regulatory demands.
• Additionally, with the increasing scrutiny on workforce quality, agencies are focusing on compliance with national standards such as those set by the Joint Commission, which accredits healthcare organizations. According to a report from the U.S. Bureau of Labor Statistics, compliance failures or poor quality ratings can lead to significant financial penalties and loss of business for staffing agencies that fail to adhere to the required standards.

Market Segmentation

• U.S. Healthcare Staffing Market, By Service Type
  • Travel Nurse Staffing
  • Per Diem Nurse Staffing
  • Locum Tenens Staffing
  • Allied Healthcare Staffing
• Company Profiles
  • Envision Healthcare Corporation
  • AMN Healthcare
  • CHG Management, Inc.
  • Maxim Healthcare Group
  • Cross Country Healthcare, Inc.
  • Syneos Health, Inc.
  • Almost Family, Inc.

Sources

Primary Research Interviews from the Following Stakeholders

• Staffing directors at major healthcare networks
• Talent acquisition managers at regional hospitals and long-term care facilities
• Operations executives from travel nurse and per diem staffing platforms
• Digital transformation and AI leads at staffing agencies
• Clinical HR and workforce compliance managers
• Public health administrators addressing rural and underserved area staffing

Databases and Government Reports

• U.S. Bureau of Labor Statistics (BLS)
• Health Resources and Services Administration (HRSA)
• Centers for Medicare & Medicaid Services (CMS)
• National Council of State Boards of Nursing (NCSBN)
• U.S. Department of Health and Human Services (HHS)

Magazines & Journals

• Journal of Nursing Regulation
• Health Affairs
• Journal of Healthcare Management
• New England Journal of Medicine (NEJM) – Catalyst
• Modern Healthcare
• American Journal of Managed Care
• Harvard Public Health Review

News Outlets

• Fierce Healthcare
• Healthcare Dive
• Becker’s Hospital Review
• CNBC
• NPR Health – Coverage on Rural Hospital Staffing Gaps

Associations

• American Staffing Association (ASA)
• American Nurses Association (ANA)
• National Association of Travel Healthcare Organizations (NATHO)
• American Organization for Nursing Leadership (AONL)
• National Rural Health Association (NRHA)
• Federation of American Hospitals (FAH)

Public Domain Sources

• Occupational Information Network (O*NET)
• National Academy of Medicine (NAM)
• U.S. Census Bureau
• Institute of Medicine (IOM) – Workforce Planning Publications
• HRSA Data Warehouse – Health Workforce Interactive Dashboards
• GAO Reports – Reviews on Federal Staffing Incentives and Shortage Programs

Proprietary Elements

• Real-time Job Postings Data from Staffing Platforms
• EMR Vendor Workforce Integration Feedback
• Hospital Shift Fulfillment Rates & Burnout Indexes
• Contract Pricing Trends from MSPs and VMS Platforms
• Healthcare Talent Market Sentiment Surveys
• Retention & Attrition Metrics from Large Hospital Systems