There has been a lot of recent hype in the media, in regards to large numbers of lay-offs within the healthcare field. I’ve taken notice to such stories in publications printed in numerous states throughout the nation. This growing trend, which is resulting from larger state Medicaid cuts, has providers of physician services finding themselves back in that grey area – an area that might have once been planned out, but now is defined with one big question mark.

The impact that larger state Medicaid cuts are having on physicians, as well as many other folks who work in healthcare, is exemplified in an article that ran in this week’s, The State, a South-Carolina-based newspaper. As written in the story, “until the state Legislature approved a change in April, South Carolina was the only state that did not allow its state Medicaid agency to cut the rates that it paid to hospitals and physicians to treat the poor and disabled.”

The article went on to inform readers that, in this case, a second round of cuts would likely hurt hospitals and doctors’ office in S.C. (the first round, which took a three percent cut, was something most facilities handled). However, Providence Hospital was not so lucky, and was forced to lay off 35 patient care providers. This was a shock to employees, who went to work one day, and were essentially gone for good the next.

Aside from lay-offs, Providence Hospital also planned to lower operating expenses by $7.9 million. This instance alone is a rude awakening for the industry and a not-so-nice glimpse into the healthcare industry’s future.

The State interviewed a hospital administrator from Providence Hospital and his comment paints a picture of concern and doubt.

“Our nation’s health care system is at a tipping point,” said Providence Hospital’s chief executive George Zara. “It is clear that the existing structure and fundamentals of the nation’s health care system are not sustainable.”

Believe it or not, the Medicaid cuts are not the only cause for the negative outlook some see in healthcare. The overall economy has hit it hard as well, and there are a slew of others factors. Those within the industry are advised to have a plan, should job security become an issue.

Just as with the on-set of Obama Care and the uncertainty it initially brought to people working in healthcare, many physicians are once again opting out all together; for some, early retirement is possible, while others make find themselves making career changes, later in life.

Another popular solution is one that utilizes companies that provide outsourced physician services to hospitals and healthcare facilities. This allows physicians that job security, while it also ultimately saves hospitals money and minimizes lawsuits. Success in this option will be based on the physicians being placed in hospitals and healthcare facilities.

These companies are like any others, where quality in one might be seamless, while the next couple, managing massive clients, is filled with holes. It is vital for physician outsourcing service companies to place correct doctors in the corresponding and correct areas of hospitals, an emergency room doctor studies is equipped with a completely different skill set than that of a physician of internal medicine.