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Axios
Axios
Health

Nursing homes face closure risks amid staff shortages post-COVID

Nursing homes across the U.S. are facing closure risks amid staff shortages and higher operating costs as the country emerges from the pandemic, according to a survey by the American Health Care Association released Monday.

Why it matters: Nearly 60% of nursing homes in the U.S. are operating at a financial loss and nearly three-quarters are concerned about possible closures due to staffing shortages, per the survey.


The big picture: The survey, conducted last month across 759 facilities, found that 60% of nursing homes said their staffing situations had worsened since the start of the year, with 87% facing "moderate or high" staffing shortages.

  • A large majority of the nursing homes surveyed said they had hired temporary staff and limited new admissions into the homes in recent months to cope with the shortages, while 99% said they had asked current staff to work overtime.
  • 73% of nursing homes said they were concerned about possibly having to close if staffing shortages persist.
  • Operating costs at nursing homes have increased by an average of 41% over the past year, with 59% of nursing homes saying they are currently operating at a loss.
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