In an attempt to cut costs and “do more with less,” providers across the industry have engaged in a wave of layoffs in recent months. The healthcare sector as a whole cut 58K jobs in 2023, a 91% increase over the previous year, and the trend has continued in the first half of the new year.

Anecdotally, many of these layoffs have occurred in administrative roles—a common area for cutting. According to a recent McKinsey survey of 45 AMC leaders, 75% of organizations are trying to optimize their nonclinical workforce today. However, executives are also increasingly looking for efficiencies on the clinical side as they exhaust other options for cost savings.