The Cost of Understaffing in Post-Acute Care: How a Vital Signs Monitoring System Can Help
As post-acute care (PAC) facilities emerge from the challenges posed by the COVID-19 pandemic, they continue to face significant financial and operational hurdles. Among the most pressing challenges is the persistent issue of understaffing, which has far-reaching implications for patient care, facility sustainability, and overall financial performance. The pandemic exacerbated an already strained healthcare workforce, with PAC facilities experiencing the highest workforce attrition rates across the healthcare sector. This reduction in staff, combined with the increasing complexity of patient care needs, underscores the critical need for innovative solutions to support the effective monitoring and care of patients.
The Realities of Understaffing in Post-Acute Care
Understaffing in PAC facilities is not just a matter of operational inconvenience; it has substantial financial implications. A recent study highlighted a staggering $19.5 billion revenue deficit in understaffed PAC facilities. This shortfall is primarily due to the inability of these facilities to maintain adequate patient-to-staff ratios, leading to reduced care quality, increased patient safety risks, and a higher likelihood of hospital readmissionsโeach of which carries its own financial penalties.
The American Health Care Association/National Center for Assisted Living survey revealed that 61% of long-term care facilities limit new admissions due to staffing shortages, 87% face moderate to high staffing shortages, and 99% ask staff to work overtime. These statistics paint a grim picture of a sector struggling to meet the demands of patient care while battling financial instability.
Financial Penalties and the Need for Continuous Vital Signs Monitors
The Centers for Medicare and Medicaid Services (CMS) has implemented financial penalties for PAC facilities with high readmission rates as part of its value-based purchasing program. Under this program, CMS withholds 2% of Medicare fee-for-service PAC revenue, redistributing it based on readmission rates. Facilities with low rates receive a bonus, while those with high rates are penalized. This policy places additional financial strain on facilities already grappling with the consequences of understaffing and the growing complexity of patient care.
The financial impact of hospital readmissions is significant. Approximately 23.5% of patients discharged to PAC facilities are readmitted within 30 days, resulting in an estimated $4.34 billion in unnecessary healthcare spending annually. Furthermore, 78% of these readmissions are deemed avoidable, costing $3.39 billion in wasted expenditure. These figures highlight the critical need for improved patient monitoring to prevent deterioration events that often lead to readmissions.
The Growing Need for Continuous Vital Sign Monitoring
Historically, vital signs in PAC settings have been measured and documented intermittentlyโevery 6, 8, or even 12 hours. However, this approach is inadequate for capturing the complete picture of a patient’s physical status, particularly in an environment where patients may deteriorate between observations. Continuous vital signs monitoring offers a transformative solution to this challenge.
Continuous monitoring, facilitated by wearable technology, provides real-time, automated patient surveillance. This approach improves patient safety, reduces readmission rates, and enhances staff communication regarding patient health. The financial benefits of this technology are clear: facilities can avoid revenue loss by safely treating high-acuity patients in place rather than transferring them to hospitals. Improved patient outcomes and reduced readmissions result in larger financial incentives from CMS.
A notable example of the financial benefits of vital sign monitoring is a PAC facility that reduced its readmission rate to 10% after just 11 months of implementing continuous monitoring. Additionally, a meta-analysis suggested a 39% lower mortality risk for patients monitored continuously compared to those monitored intermittently. These statistics underscore the potential of continuous monitoring to not only improve patient outcomes but also drive financial stability for PAC facilities.
Positioning PAC Facilities for Success with Continuous Vital Sign Monitors
As the healthcare landscape continues to evolve, PAC facilities must adopt innovative solutions to remain financially viable and deliver high-quality care. Continuous vital signs monitoring, exemplified by the Vios Monitoring System, offers a powerful tool for achieving these goals. By reducing readmissions, improving patient outcomes, and enhancing operational efficiency, continuous monitoring can help PAC facilities navigate the challenges of understaffing and financial instability by ensuring a more efficient allocation of resources and staff to ultimately improve patient care and outcomes.
The Preferred PAC Hospital Vital Signs Monitor: The Vios Monitoring System
The Vios Monitoring System represents a cutting-edge solution for continuous vital signs monitoring in PAC facilities, all from a single, non-invasive chest sensor. This system provides real-time data on patient vital signs, including heart rate, respiratory rate, ECG, SpO2, pulse rate, and posture, all of which are crucial for detecting early signs of patient deterioration.
PAC facilities can achieve a significant return on investment by integrating the Vios Monitoring System. On average, facilities utilizing this system have seen a 10% reduction in readmission rates, a 30% increase in higher acuity patient mix, a 20% reduction in pressure injuries, and a 5% increase in facility referrals. These outcomes not only improve patient care but also enhance the financial performance of the facility.
The Vios Monitoring System also addresses alarm fatigue, a common challenge in PAC settings. With remote monitoring services providing 24/7 oversight, clinical staff can focus on direct patient care, knowing that patient vitals are closely monitored. This approach allows PAC providers to allocate resources more effectively, reducing operational costs and improving the overall quality of care.
Implement a Vital Sign Monitoring System in Your Post-Acute Care Facility
In a market where empty long-term care positions are projected to reach 8.2 million by 2028 and where financial pressures are leading to facility closures and consolidations, adopting continuous monitoring systems is not just a strategic advantage but a necessity. For PAC facility leaders, the choice is clear: invest in continuous vital signs monitoring to drive revenue growth, improve patient health outcomes, and secure long-term financial success.
This article contains information from our more detailed whitepaper on this subject. To learn more about the capabilities of the Vios Monitoring System in PAC facilities, check out The Financial Benefits of Vital Signs Monitoring in Post-Acute Facilities Whitepaper to discover all the vital details.