What many facilities overlook is that temporary locum tenens coverage can significantly reduce these losses by maintaining patient flow, preserving revenue, and protecting long-term workforce stability. Read more.

Every healthcare leader knows physician turnover is expensive — but during peak demand periods, those costs multiply dramatically. When a physician leaves right before flu season, the holidays, or another high-volume window, hospitals and clinics risk revenue losses, patient backlogs, and overextended staff.What many facilities overlook is that temporary locum tenens coverage can significantly reduce these losses by maintaining patient flow, preserving revenue, and protecting long-term workforce stability.<h2>The High Price Tag of Physician Turnover</h2>Replacing a physician is not just about recruiting a replacement — it’s about absorbing all the hidden costs that come with a vacancy.Direct and indirect costs can include:<ul><li>Recruitment fees, signing bonuses, relocation expenses</li><li>Credentialing, licensing, and onboarding time</li><li>Lost productivity and billing during vacancy</li><li>Overtime or burnout among remaining staff</li><li>Reduced patient satisfaction and retention</li></ul> According to industry research, replacing a single physician can cost between $250,000 and $1 million, depending on specialty and market conditions. In some high-revenue departments, the loss can reach 2–3 times the provider’s annual salary once all factors are considered.<h2>Why Peak Demand Makes Replacement Even More Costly</h2>During surge periods — such as the winter respiratory season, the holidays, or post-summer catch-up months — vacancies have an amplified financial impact.For some hospitals, a single vacant primary care position can result in $130,000+ in lost monthly revenue when factoring in billings and patient flow disruption.<h2>Locum Tenens: The Bridge That Protects Revenue and Stability</h2>When faced with turnover or temporary staffing shortages, locum tenens providers offer an agile and cost-effective alternative.Here’s how locums help minimize losses:<ul><li>Immediate coverage, minimal downtime: Locums can be deployed quickly, ensuring patient visits and procedures continue without interruption.</li><li>Revenue continuity: By maintaining patient flow, facilities avoid canceled appointments and deferred care that impact bottom-line results.</li><li>Reduced overtime costs: Temporary physicians absorb the workload that would otherwise fall on overextended teams.</li><li>Retention safeguard: Giving permanent staff proper rest during peak stress periods helps prevent burnout and additional turnover.</li><li>Operational flexibility: Locums allow hospitals to scale staffing up or down based on seasonal demand — without committing to long-term payroll expenses.</li></ul> In short: while hiring locums involves an hourly or daily rate, it is far less expensive than the cascading costs of vacancy, burnout, and lost patient revenue.<h2>Strategic Takeaways for Healthcare Leaders</h2><ol><li>Plan early for peak demand — anticipate vacancies or time-off patterns, especially during the holidays.</li><li>Incorporate locum staffing into your annual workforce plan, not just as an emergency measure.</li><li>Measure the ROI: Compare the daily cost of a locum with your lost revenue per vacant shift — the math is almost always in favor of coverage.</li><li>Protect your permanent workforce: Using locums prevents burnout, strengthens retention, and stabilizes morale.</li></ol> Losing a physician during peak demand can be financially devastating — but it doesn’t have to be. With strategic use of locum tenens coverage, healthcare facilities can maintain patient access, protect revenue, and give permanent staff the support they need.At the end of the day, the question isn’t whether you can afford to use locums — it’s whether you can afford not to.<h2>Keep Your Facility Fully Staffed — and Profitable — This Peak Season</h2>Don’t let physician turnover cut into your revenue. Partner with our team to develop a proactive locum coverage plan that keeps your operations running smoothly year-round. <a href="https://www.crosscountry.com/locums/client-solutions?utm_source=Website&amp;utm_campaign=Blog" rel="noopener noreferrer" target="_blank">Get started!</a>

The True Cost of Replacing a Physician During Peak Demand 

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