Workforce Protections Ranking Member Omar Opening Remarks at Hearing on Misclassifying Rural Health Care Providers

Workforce Protections Ranking Member Omar Opening Remarks at Hearing on Misclassifying Rural Health Care Providers

WASHINGTON - Workforce Protections Subcommittee Ranking Member Ilhan Omar (MN-05) delivered the following opening statement at today's Workforce Protections Subcommittee hearing entitled, "On Call for America: Strengthening Access Through Locum Tenens Providers."

"Thank you, Mr. Chairman, and thank you to our witnesses for joining us today.

"Today's hearing is being presented as a discussion about expanding access to health care, particularly in rural communities. I think it's fair to say that we all agree that rural America is facing serious and unique health care challenges. Too many communities struggle with provider shortages, hospital closures, and limited access to care. Those problems deserve serious discussion and real solutions.

"However, misclassifying health care workers and stripping them of their worker protections and benefits will not solve any of those struggles.

"Across the country, hospitals and health care businesses are increasingly looking for ways to cut labor costs by shifting away from direct employer-employee relationships. Instead, they are relying more heavily on outsourced subcontractors, temporary staffing arrangements, and workers [misclassified] as independent contractors. The result is often the same: employers reduce their responsibilities and their bottom line, while workers lose critical rights and protections.

"My colleagues may argue that automatically classifying some physicians and advanced practice providers as independent contractors will increase flexibility and help address workforce shortages. But flexibility should not come at the expense of fundamental workplace safety and security.

"When classified as independent contractors, worker[s] can lose access to overtime pay, unemployment insurance, workers' compensation, and the right to collectively bargain for better working condition[s]. Those protections exist for a reason, even for highly educated professionals such as physicians and nurse practitioners. They help ensure that the people caring for our families can earn a living wage, work in safe environments, and have a voice on the job. And it's important to recognize that these temporary staffing arrangements often create challenges for patient care.

"Despite temporary staffing arrangements becoming increasingly more common, many workers report receiving little or no orientation before beginning assignments. They may not know where supplies are located, how to navigate patient record systems, or who to contact when problems arise.

"The data shows that temporary nurses are assigned the most difficult units and are expected to perform without adequate support. Those conditions are difficult for workers and potentially hurt patients or reduce quality of care.

"For the sake of the workers and the patients, Congress should not be promoting these types of temporary staffing arrangements in health care.

"Unfortunately, H.R. 8347 would do just that. It would create a special carveout that allows employers to avoid responsibilities that apply in virtually every other workplace. And it would replace long-standing legal standards with a blanket rule that makes it easier to classify health care professionals as independent contractors, regardless of the realities of their working relationship.

"We all agree that rural health care has unique needs. Rural hospitals often operate on thin margins and face persistent staffing shortages. And unfortunately, these challenges have been exacerbated by the cruel cuts of Medicaid and student loans included in H.R. 1.

"The nearly $1 trillion cuts made to [Medicaid] threaten the financial stability of rural hospitals and clinics that already operate on razor-thin margins, increasing the risk of service reductions, workforce shortages, and even facility closings.

"As people lose access to health coverage and federal funding declines, rural families may face longer travel times for care, fewer health care providers, and greater barriers to accessing essential services such as emergency care, maternity care, and behavioral health treatment.

"Instead of weakening protections for the health care workforce, Congress should explore targeted investments, workforce development programs, provider training opportunities, loan repayment assistance, and other measures to help recruit and retain health care professionals in underserved communities.

"The dedicated workforce we are talking about today is the backbone of our health care system. They deserve policies that value their contributions, protect their rights, and support high-quality patient care.

"Thank you, and I yield back."

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