Just a quarter of long-term care operators are confident they can last just a year or longer due to the financial challenges caused by the COVID-19 pandemic, according to a new survey from the American Health Care Association/National Center for Assisted Living.
Findings released early Tuesday also showed that 54% of nursing home operators reported they are currently operating at a loss, while 49% answered “yes” when asked if they’ve had to make any cuts due to increased expenses and lost revenue in 2021.
“Even though COVID cases in long-term care are at historic lows, providers are struggling to recover from the economic crisis the pandemic has induced,” Mark Parkinson, AHCA/NCAL president and CEO, said in a statement.
The top three costs facing facilities are additional pay for staff, hiring additional employees and personal protective equipment, according to the findings.
Additionally, 84% of respondents reported they’re also losing revenue due to fewer post-acute patients coming from hospitals; 83% cited financial losses due to fewer residents seeking long-term care; and 37% said their losses are attributed to residents/patients moving out.
“Too many facilities are operating under shoestring budgets simply because policymakers have failed to dedicate the proper resources, and this can have devastating consequences,” Parkinson said.
The survey featured responses from 616 nursing homes and 122 assisted living communities. For additional coverage, check out our sister site McKnight’s Senior Living.