Behind the Shortage
The senior population is rapidly growing, with 10,000 Americans turning 65 daily. Many of them will eventually need assistance even with daily living activities such as laundry or grocery shopping, let alone those that need medical help.
The country has struggled to meet the caregiver demand since the onset of the COVID-19 pandemic, as millions of caretakers have left the field for various reasons. On top of that, now, with the increasing population, the United Disabilities Services Foundation (UDS) expects the national caregiver shortage to reach 151,000 by 2030 and 355,000 by 2040. On average, more than 700,000 caregiving positions are expected to open each year through 2032, according to AARP.
Why is the Demand for Caregivers Growing?
More people are aging alone. Solo agers are single, divorced, widowed, childless, or their children live far away. This group of seniors requires caretakers, especially if they want to remain in their homes for as long as possible. The National Poll on Healthy Aging finds that 88% of adults aged 50 to 80 want to age in place.
Besides the growing senior population and the desire to age in their home, Global Coalition on Aging finds that caregiver turnover rates range from 40% to 60%. Common reasons caregivers leave the field include low pay, lack of respect, need for benefits, and limited potential for professional growth. On top of that, the work of a caretaker is extremely demanding. Clients will have a variety of needs. In addition, they could be dealing with personality-altering diseases such as Alzheimer’s. It can all be overwhelming and strenuous sometimes, leading caregivers to experience burnout.
Solving the Caregiver Shortage Crisis
Companies are looking for ways to retain their caregivers and recruit new ones so they can take on more business. AARP finds that workers seek incentives like better pay, sign-on bonuses, more attractive benefits, and career advancement opportunities. While UDS finds that caregivers are looking for society to elevate their perception of their career choice, provide them with respect, and be considered a part of the healthcare ecosystem.
Along with career advancements comes the desire for more training and educational programs. The software company Home Care Pulse finds that agencies that offer their caretakers at least eight hours of orientation training and 12 hours of ongoing training see an increase of more than $700,000 in revenue compared to those that provide the minimum number of hours for compliance. Training sessions also decrease the chance of a 90-day turnover. This can save you time and money by not constantly replacing caregivers. As a potential business owner, why would you skip out on an opportunity to increase your revenue and workforce?
Why is Now a Good Time to Enter the Home Care Market?
Don’t let the worry over the caregiver shortage scare you away; the other home care industry trends make now the perfect time to join the growing industry. First off, the global home healthcare market was worth $301 billion in 2021 and is expected to reach $813 billion by 2028, according to SkyQuest Technology Consulting. Following some of those solutions to solve the caregiver shortage can help you recruit and retain workers. Another way that can help you is opening a non-medical home care franchise like A Place At Home. This allows you a larger pool of caregivers to hire from.
Statistics show that home care agencies are growing. Home Care Pulse reports that providers recently experienced the highest client growth in four years, with median revenue also increasing.
The demand will only increase for in-home care as the senior population grows. A non-medical care business also allows you to work with your clients for the long term, whereas medical care is typically short-term.
Start an A Place At Home Franchise
Join the thriving industry with a franchise experiencing an average of nearly 92% overall caregiver satisfaction rate. We’re built on a senior-focused care model that provides a complete service model, from in-home care to care coordination, finding senior living alternatives, and helping those facilities with staffing solutions. Learn more about your next franchising opportunity by submitting a franchise form.