Hospitals confront rising non-labor costs, workforce pressures and reimbursement challenges, Kaufman Hall reports
Hospitals report 6% to 10% non-labor cost increases and focus on staffing strategies amid payer reimbursement challenges, survey of 103 leaders shows.
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Kaufman Hall Report: Rising Non-Labor Costs and Payer Denials Squeeze Hospital Margins in 2025 – RamaOnHealthcare
What You Should Know: – According to Kaufman Hall’s 2025 Health System Performance Outlook, hospitals are facing a “financial trifecta” of rising non-labor expenses, workforce instability, and aggressive payer reimbursement pressures. – Nearly 60% of health systems reported non-labor cost increases of up to 10%, driven by inflation and tariffs, while 44% cited high claim [...]
Kaufman Hall Report: Rising Non-Labor Costs and Payer Denials Squeeze Hospital Margins in 2025
What You Should Know: – According to Kaufman Hall’s 2025 Health System Performance Outlook, hospitals are facing a “financial trifecta” of rising non-labor expenses, workforce instability, and aggressive payer reimbursement pressures. – Nearly 60% of health systems reported non-labor cost increases of up to 10%, driven by inflation and tariffs, while 44% cited high claim denial rates as a top challenge. As bad debt rises and staffing levels ti…
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