Costs Beyond Labor: Nursing Home Providers Push for Savings Amid Margin Crunch

Ken BellLTC News

Skilled Nursing News (01/24/2023) – Rising costs in all areas of running a nursing home — not just labor — are squeezing profit margins, compelling providers to adjust operations, make investments and pursue innovations in a quest for greater efficiencies.

While skilled nursing facility operators try to get a grip on labor shortages, workforce costs surged by as much as 30% in 2022, according to some providers who spoke with Skilled Nursing News. But creeping food, beverage, equipment and supply prices, as well as insurance costs, are putting a strain on their budgets. They report costs in these areas increasing between roughly 5% and 15%, and more in some cases. Full story »