Health Care Job Growth Outpaces Economy While Wages Slow

Healthcare Sector Employment Outpaces Broader US Economy Amid Outpatient Expansion

Healthcare sector employment grew steadily over the past year while job growth across other non-farm industries largely plateaued, according to federal labor data published by the Peterson-KFF Health System Tracker. The healthcare industry added 378,500 jobs over the last twelve months, marking a 2% increase. That figure stands in stark contrast to the rest of the non-farm economy, which registered an employment growth rate of just 0.2% over the same period.

Decade-Long Growth Trends Across Sectors

Healthcare jobs currently make up 11.6% of all non-farm employment in the United States, rising from 10.7% a decade ago. Long-term federal figures show that since 1990, the health sector has expanded at more than three times the rate of all non-health, non-farm employment categories combined. Within the healthcare industry itself, outpatient care settings drove much of this expansion, with employment in those facilities jumping 40% since August 2016.

Wage Growth Dynamics in Healthcare

While hiring numbers continue to climb, wage growth patterns within the industry tell a different story. Healthcare wage growth slowed slightly over the past three years compared to broader gains observed in other U.S. industries. The Peterson-KFF Health System Tracker chart collection notes that wage increases in medical fields have not kept pace with the rapid acceleration seen in certain non-health sectors, even as labor demand remains high.

Frequently Asked Questions About Healthcare Labor Trends

What specific outpatient settings drove the 40% job increase since 2016?

The Peterson-Kff Health System Tracker dataset highlights outpatient care settings overall—such as ambulatory surgical centers, outpatient clinics, and home health services—as the primary drivers behind the 40% employment increase recorded since August 2016.

How does the recent 2% healthcare job growth compare to historical averages?

The recent 2% annual increase continues a decades-long trajectory where health sector employment has expanded at more than three times the pace of all non-health, non-farm employment sectors combined since 1990.

What percentage of total U.S. non-farm jobs are in healthcare today?

Healthcare jobs account for exactly 11.6% of all non-farm jobs nationwide, an increase from 10.7% a decade prior, according to federal labor statistics analyzed by the Peterson-KFF Health System Tracker.