Nurse Staffing Agencies: What Nurses Should Know

• Staffing agencies have drawn major venture investment as the nursing shortage drags on.
• Agency work can pay more than a staff job, but it usually skips benefits.
• Vet any agency on pay, contract terms, and your right to decline placements before you sign.

Investors have noticed nurse staffing. Nursa landed an $80 million funding round that ranked among the top venture deals of its month, and ShiftMed, a firm placing nurses and home health aides, followed an early $45 million raise with another $200 million. As the shortage continues and more nurses leave the workforce, agencies are stepping in to fill the gaps, and the money following them suggests they will keep growing.

So what does that mean for you? Here is how agency work actually works, and the tradeoffs to weigh before you sign on.

How a Nurse Staffing Agency Works

The shortage feeds itself. Nurses retire or burn out, the pool of working nurses shrinks, and the remaining staff carry heavier loads, which drives more burnout. Agencies exist to plug those holes.

Agency nurses work for the agency, not the facility, and may rotate through one or more workplaces and roles. Travel nurses are a type of agency nurse who cover longer distances to fill short-term gaps at facilities around the country. A typical agency nurse stays closer to home.

Contracts vary. Agencies offer per-diem work, short-term placements (6 to 12 weeks), and longer or permanent positions. Pay is usually hourly and often comes without benefits. Glassdoor reports an average agency nurse salary of about $91,600.

Getting Involved

Agencies recruit at nursing schools, through nursing publications, and across their own networks online. The right fit depends on what you want. Before you sign, get clear answers on these:

• What are the pay and benefits?
• Do the contracts fit your career and work-life goals?
• Can you decline a placement you would rather not work?
• Are you eligible for overtime?
• Can you hold another job or side gig while under contract?
• How much notice do you get before an assignment?
• Does the agency help pay for new training?
• Are there paths for advancement?

If an agency asks for an upfront fee, walk away. That is not standard practice in the staffing industry. And if an agency already places nurses at your facility, ask them what they like and dislike about it.

The Pros and Cons

Agency work trades stability for flexibility and, often, higher pay.

The upsides:

• You may earn more than a staff member in the same role.
• You can try different employers and roles to find what suits you.
• The flexibility frees up time for a side gig, family, or other interests.
• Some agencies offer stock options or other incentives that nonprofits cannot match.

The downsides:

• It is harder to settle into a workplace culture as a short-term staffer.
• You may have less say over assignments and locations.
• You typically get no benefits, including paid time off or health insurance.
• Travel times can be unpredictable.

Demand for agencies is likely to keep climbing, and with it the number of openings. If you want variety in your assignments and workplaces, agency work may be the right move.