Proven Solutions for Optimizing Staff and Reducing Labor Costs in Long-Term Care: Expert Insights from a Panel Discussion
The long-term care industry faces ongoing challenges in workforce management, most of which feature: staff shortages, rising labor costs and maintaining high-quality care. In a recent panel discussion hosted by Smartlinx and MarcusEvans, industry experts from Guardian Healthcare, Journey and Jaybird Senior Living shared proven strategies for optimizing staff, improving employee engagement, and controlling labor costs without compromising patient care.
The Workforce Crisis in Long-Term Care
Long-term care providers are grappling with workforce shortages and rising labor costs, impacting quality of care. Michael Harold, President and CEO of Guardian Healthcare, highlighted workforce shortages affecting long-term care, especially in rural areas. With Pennsylvania projected to have a 20,000-nurse shortfall by 2026, the challenge is not just hiring but retaining skilled staff. High turnover and reliance on agency staffing significantly impact labor costs, making it crucial for organizations to rethink their staffing strategies.
Employee Engagement: The Key to Retention
Panelists also emphasized that retention is just as important as recruitment. Austin Steele, Chief Strategy Officer at Journey, noted that their organization focuses on treating staff as “care team members” rather than just employees. Journey has implemented several initiatives, including:
- Attendance Incentives – Bonuses for employees who consistently show up on time.
- Flexible Pay Options – Weekly and even daily pay options to ease financial stress.
- Affordable Healthcare – Providing both insurance and telehealth options at no cost.
These strategies have helped reduce agency reliance and improve staff retention, which not only positively impacts labor costs but also leads to higher-quality care for residents. In short, a happy, supported staff directly correlates to better resident care and a more stable workforce.
Leveraging Technology for Workforce Optimization
Technology also plays a critical role in streamlining operations and improving staff engagement. Smartlinx, a leading workforce management platform, offers solutions designed specifically for long-term care such as:
- Automated Scheduling – Ensuring the right staff coverage while reducing excessive overtime.
- Mobile Employee Access – Allowing staff to manage their schedules, pick up shifts, and communicate seamlessly.
- Compliance and Reporting – Simplifying payroll-based journal (PBJ) reporting and regulatory compliance.
Michael Harold shared that Guardian Healthcare has invested in HR technology to centralize workforce data, improve efficiency, and support staff with better tools for daily operations.
Creative Staffing Strategies
Justin Ray, President of Jaybird Senior Living, introduced a nurse triage program that allows nurses to take breaks without being constantly on call. By providing dedicated support for after-hours emergencies, this program has improved work-life balance and reduced burnout among nursing staff.
Similarly, Austin Steele (Journey) highlighted a growing trend of "schedule-driven time" where facilities take back control of scheduling. Instead of accommodating every unique staff request, facilities now create structured schedules that better align with their needs while improving staffing stability.
The Balance Between Cost Control and Quality Care
One of the biggest challenges in long-term care is reducing labor costs without compromising resident care. The panelists agreed that the solution lies in a culture-first approach. Organizations that prioritize staff well-being see lower turnover rates, reduced overtime costs, and improved care quality.
Michael Harold (Guardian) emphasized that retention efforts should be discussed at every level of leadership, shifting the conversation from "turnover" to "engagement." Guardian Healthcare has successfully improved retention by focusing on workforce wellness programs and empowering frontline staff with better decision-making tools.
Key Takeaways
- Retention is the best cost-saving strategy. Investing in employee engagement and benefits reduces reliance on costly agency staff.
- Technology enhances efficiency. Workforce management platforms help streamline scheduling, payroll, and compliance.
- Creative staffing solutions work. Programs like nurse triage and structured scheduling improve both staff satisfaction and operational efficiency.
- Culture matters. A positive work environment leads to better care and lower turnover.
Moving Forward
For long-term care providers, the key to sustainable success lies in balancing workforce efficiency with compassionate care. By leveraging technology, fostering employee engagement, and implementing strategic staffing solutions, organizations can reduce labor costs while maintaining high-quality service for residents.
Interested in learning more about Smartlinx’s workforce management solutions? Request a demo to see how we can help optimize your staffing and labor costs.