Hospitals in New Hampshire generate billions of dollars annually in economic activity and employ more than 37,500 people, according to a new report.
"The Economic Impact of Hospital Systems in New Hampshire," released by the New Hampshire Hospital Association and the Foundation for Healthy Communities, quantifies the economic impact of New Hampshire's 26 hospital systems.
"This study shows in real numbers that hospitals are an important economic driver in our communities," said NHHA President Steve Ahnen. He said healthcare accounts for almost 13 percent of New Hampshire's private-sector employment.
The study found that the total employment impact of hospital systems in New Hampshire is 65,651 direct and secondary jobs, earning a total of $3.7 billion. Hospital system employees earn about $2.3 billion a year in wages, salaries and benefits, while secondary jobs related to community hospitals earn $1.3 billion a year.
Secondary economic impacts are created from jobs in other businesses and industries that support hospital systems, Ahnen said. Examples of those are oil companies that sell fuel to hospitals, landscapers who tend hospital grounds and provide snowplowing services, and companies providing computer maintenance and services.
"This report shows that hospital systems are much more to New Hampshire than emergency rooms, clinics and doctors," said Bruce King, chairman of the NHHA's board of trustees and CEO of New London Hospital.
Hospital systems are defined in the report as the hospital and the variety of healthcare services available from that hospital, such as primary care and specialty physician practices, ambulatory surgery centers, nursing homes or health clinics.
According to King, attracting and keeping highly-skilled professionals can be a challenge in New Hampshire's rural communities. He said hospitals in rural areas are a source of high-tech jobs for those who otherwise might leave small communities.
"Hospitals provide an anchor for other healthcare jobs such as physicians and pharmacists which, in the absence of the hospital, might not be available," said King.
Jim Roche, president of the Business and Industry Association of New Hampshire, said a hospital provides services that contribute to a community's high quality of life and productive workforce.
"The ripple effect of the healthcare sector throughout New Hampshire's economy is substantial," he said. "Hospitals generate significant employment (and) help to expand and attract business."
The economic impact report can be relevant in public policy discussions regarding access to care, community benefits and healthcare cost containment, Ahnen said.
"Hospitals are the cornerstones of our communities, not only tied to the health of the people who live there, but also to the health of the economy," he said.