Healthcare drives business, jobs with $6.3B state impact

Hospitals serve as "economic anchor" in Kansas by attracting and maintaining business, as well as creating jobs, according to a new report released last week from the state hospital association.

The overall healthcare industry generated $10.2 billion in payroll and employed more than 11 percent of job holders in the state in 2011, according to the Kansas Hospital Association's report.

Hospitals in particular employ 3.4 percent of all Kansas job holders, or 73,890 people, yielding more than $4.2 billion in direct labor income, the report found. On top of that, hospitals add another 57,330 related jobs to the state.

Highlighting a ripple throughout the economy, the report notes that for every one dollar of income from hospitals, there's another $0.48 in other industries. That gives Kansas hospitals a $6.3 billion total impact on the state's income across all industries.

The report also calls for collaboration among healthcare administrators and government, business and civic leaders to ensure accessible and affordable healthcare and economic stability.

Similarly, hospitals in Illinois have a powerful impact on the state's economy, generating $78.7 billion and employing more than 250,000 people, according to a new report released Monday.  Illinois lawmakers are contemplating Medicaid cuts, which could directly affect hospitals' budgets, FierceHealthcare previously reported.

For more information:
- check out the report (.pdf)
- read the KHA press release (.pdf)
- read the Kansas City Business Journal article

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