Health Services

Industry Overview:

The U.S. health services industry constitutes a major component of the national economy, representing approximately 10.7 % of non‑farm payroll employment and about 6.5 % of GDP as of 2022 for private community hospitals alone. Hospitals and health systems have become a critical labour‑intensive sector, yet productivity in private community hospitals declined by 2.0 % in 2022 due to a small increase in hours worked (+0.3 %) and a decline in output (−1.6 %).

Overall healthcare spending continues to surge. The industry is projected to grow its EBITDA at roughly a 7 % compound annual growth rate to reach approximately US$987 billion by 2028, up from about US$676 billion in 2023. This growth reflects post‑pandemic recovery of provider margins, a shift toward outpatient care, value-based models, and amplified demand from ageing populations.

Workforce pressures and operational complexity are mounting. Hospitals facing social and financial barriers — “essential hospitals” — deliver a disproportionately high share of emergency and outpatient visits and are increasingly adopting telehealth, remote-monitoring, and AI tools to meet demand and manage costs.

2025–2026 Pressure Points

  • Rising operational and labor costs (BLS, CMS)

  • Staffing shortages and turnover (AHA)

  • Technology adoption for efficiency and patient care

  • Increased demand from ageing population

  • Regulatory and reimbursement pressures

Operational Problems We Solve

  • Leadership clarity and accountability

  • Workflow stabilization

  • Reporting rhythm and financial visibility

  • Multi-site performance management

How CoreScale Helps

  • 90-day stabilization sprint

  • Execution-backed strategy: Stay, Go, Grow, Grow-to-Go

  • Milestone-based extensions

  • Operational clarity and efficiency improvement

Sub-Topic Sections

  • Operational Efficiency & Workflow

  • Leadership Rhythm & Alignment

  • Reporting & Financial Visibility

  • Multi-site Performance

  • Transition Readiness

  • Regulatory Posture

  • Revenue Cycle Clarity

Citations

  • Bureau of Labor Statistics. (2025). Private community hospitals labor productivity.

  • American Hospital Association. (2025). TrendWatch Chartbook.

  • McKinsey & Company. (2025). US Healthcare Outlook 2025.

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