Related BLS programs | Related articles
Hospital employment under revised medicare payment schedules
Eileen Appelbaum and Cherlyn Skromme GranroseIn the face of declining employment in manufacturing, service sector industries such as health services are expected to offer expanded employment opportunities in the future. More than 900,000 jobs have been added in the health services industry since 1975, making it one of the largest industries in the U.S. economy. Moreover, the number of Americans over 65, who make the greatest use of health care services, is currently approaching 29 million and continues to grow.
Recently, however, the Federal Government has attempted to limit the rise in health care costs by instituting a prospective payment system based on Diagnosis Related Groups, or DRG's. Under the former system, reimbursement for hospital treatment covered by medicare at an acute care hospital1 was based on the prevailing rates for hospital and physician care in the locality. Hospitals typically recovered the full cost of care for each patient.
This excerpt is from an article published in the August 1986 issue of the Monthly Labor Review. The full text of the article is available in Adobe Acrobat's Portable Document Format (PDF). See How to view a PDF file for more information.
Read abstract Download full article in PDF (1,062K)
1 For purposes of program administration, an "acuter care hospital" is defined by exception; that is, a facility is considered an acute care hospital unless it falls within a category specifically excluded from the program by law, such an alcohol rehabilitation center. However, the term may be approximated by the American Hospital Association's definition of "community hospitals": Non-Federal, short-term general and other special hospitals, excluding hospital units of institutions, whose facilities and services are available to the public. See Hospital Statistics, 1985 Edition (Chicago, American Hospital Association, 1985), p. xi.
Related BLS programs
Current Employment Statistics
Occupational Employment Statistics
Related Monthly Labor Review articles
Health services industry: still a job machine? — Mar. 1999.
Hospital staffing patterns in urban and nonurban areas. — Mar. 1995.
Changes in hospital staffing patterns. — Mar. 1991.
Within Monthly Labor Review Online:
Welcome | Current Issue | Index | Subscribe | Archives
Exit Monthly Labor Review Online:
BLS Home | Publications & Research Papers