xHEALTHCARE INDUSTRY NEWS
Get industry news, client announcements, product release info, and HWL Insights directly in your inbox!

Breaking the Cycle: How One Health System Saved $1.9M by Rethinking Workforce Strategy 

Healthcare organizations across the country continue to contend with unsustainable staffing costs that come with being trapped in a vortex of over-reliance on premium-rate travel nurses and non-local agency staff. But what if there was a better way? 

A Northeastern health system serving as the major safety net health provider in a community of over 1.6 million residents discovered the answer was not in accepting the situation as their new normal, but rather, it was in completely reimagining how healthcare organizations build proactive & flexible workforce responsiveness internally. 

The Breaking Point 

This integrated non-profit system faced a perfect storm of challenges. With a staggering $400M annual spend on external staffing and 1,551 active travelers with no centralized oversight, premium labor costs were spiraling out of control. Each facility operated independently, creating a fragmented approach with no system-wide coordination or ability to quickly shift resources when patient volumes spiked, or staff called out unexpectedly. 

The situation was compounded by a new collective bargaining agreement within the flagship facility, multiple key leadership changes creating strategic uncertainty, resource constraints limiting internal bandwidth, and a lack of progress towards standardizing, enterprise-oriented technology, and workflows to centrally manage shared staffing resources. 

The LIFT Solution 

Recognizing the lack of sustainability and resilience their current state presented, the health system partnered with HWL to develop an innovative approach: LIFT (Local Internal Flexible Team). This was not just another tactical staffing solution or float pool buildout; it was a complete transformation of the workforce strategy. 

The breakthrough came through deploying dedicated leadership, creating a centralized command center for both short-term assignments and just-in-time shift coverage, and involving stakeholders from ClinOps, HR, FinOps and IT. Partnering within a matrixed environment  ensured real-world workflow  alignment, developing standardized, enterprise level processes that supported increased scheduling flexibility that appeals to larger talent pools, and staffing best practices that support operational excellence and efficiencies that drive cost savings. 

"Watching this program grow from just a few RNs at launch to over 250 participants has been incredible," shares Dave Stillmunkes, RN, BSN, Senior Director of Internal Resource Program Operations. "The collaboration between HWL, nursing leadership, and hospital support teams has been the driving force behind LIFT's success. The initial investment of time and effort has delivered outstanding results in both staffing efficiency and cost savings. From a LIFT nurse's perspective, they “love the ease and flexibility of creating their own schedule." 

Remarkable Results 

The impact was substantial. The system achieved $1.9M in first-year savings through a 30% reduction in hourly labor costs compared to agency rates. They exceeded hiring targets by 50%, bringing on 217 new team members versus their goal of 144, with an impressive 85% retention rate, proving the model's sustainability. 

Most importantly, they provided expanded access to new talent pipelines, with 56% of hires being new to the organization and enabled staffing continuity via converting 82 travel nurses already working at the organization to LIFT, proving that cost savings, talent-friendly programs and quality care are not mutually exclusive. 

The Future of Healthcare Staffing 

What began as a journey to address unsustainable labor spending has evolved into strategic workforce partnership, currently expanding to include allied health professionals such as Scrub Techs, Imaging Techs, and Respiratory Therapists and additional facilities including outpatient settings. This case proves that innovative, locally sourced staffing strategies can simultaneously reduce costs, enhance care delivery, and strengthen organizational agility in today's rapidly shifting healthcare landscape. 

At HWL, success isn’t defined by technology—it’s defined by the leaders we empower and the complexity we remove.  LIFT isn’t just a name; it’s a commitment to elevating healthcare organizations by streamlining opaque staffing practices, expanding access to talent, and delivering the flexibility clinicians deserve. The outcome is a sustainable, people-first staffing model that redefines excellence in care. 

September 03, 2025/By Amanda Wheeler, RN, BSN, MBA
Share this entry

Author: Amanda Wheeler, RN, BSN, MBA

Amanda brings a wealth of experience in hospital workforce management, having played a key role in developing and implementing an Internal Resource Pool for WellStar Health System and Emory Healthcare. In addition, she has been a crucial stakeholder in managing contingent labor/MSP programs, standardizing and centralizing VMS, MSP, and internal staffing & scheduling solutions, and working closely with HR and Nursing leaders. Amanda is a member of several nursing associations, including Nursing & Healthcare Associations, and is Six Sigma Yellow Belt certified.
Find me on:
Please feel free to keep the discussion going in the comments section below.

More HWL Insights in your Inbox!