Franklin, Tenn.-based Community Health Systems has hired almost 3,000 registered nurses during the first half of 2024 and its nurse retention rate is "very strong at its highest level in a decade," CEO Tim Hingtgen said July 25 during the company's second-quarter earnings call.
In 2023, CHS added more than 1,000 bedside nurses as part of its centralized clinical recruitment program, which has expanded to include allied health positions in areas including imaging, pharmacy, lab, respiratory and surgical services.
"Across these positions, hiring is up by more than 14% year-over-year," Mr. Hingtgen said. "Other facets of cost management have been an area of strength this year with contract labor, supplies and other expenses trending down in the second quarter. Innovative solutions to improve care delivery in our business operations are another area of specific focus."
The 71-hospital system is also focused on graduating and recruiting nurses through its education partnership, which is expected to graduate 1,000 new nurses a year.
CHS' contract labor costs were down about $3 million sequentially to $45 million and down $29 million (39%) from $74 million in the second quarter of 2023.
"This decrease in contract labor was slightly better than our expectation of contract labor remaining at approximately $50 million per quarter for the year," CFO Kevin Hammons said. "We are pleased with the continued progress that reflects our recruitment and retention efforts along with lower hourly rates for contracted nurses."
CHS reported a $13 million net loss in the second quarter, compared to a $38 million net loss during the second quarter of last year.