South America Hospital Staffing Market Outlook, 2031

Market Drivers

• Severe workforce shortages and structural deficits: South America faces some of the world's most severe shortages of qualified healthcare professionals. PAHO estimates that the Americas could face a deficit of between 600,000 and 2 million health workers by 2030. Brazil faces a shortage of skilled healthcare professionals, including nurses, doctors, and other specialized staff. The SUS workforce grew from 1 million to 1.18 million between December 2024 and March 2026, adding 77,547 workers in less than two years. Argentina faces a critical public hospital workforce crisis, with the Garrahan Hospital reporting 245 resignations since the beginning of the conflict, driven by salary deterioration and lack of government measures. Colombia faces a critical talent shortage, with 62.16% of institutions reporting a decrease in the availability of qualified physicians, while turnover rates reach 13.1% for physicians and 15.8% for nurses. These massive workforce gaps compel hospitals across the region to utilize locum tenens physicians, agency nurses, travel staff, and permanent placement services to maintain patient care continuity.
• Rapid healthcare infrastructure expansion: The rapid expansion of healthcare infrastructure across South America is a critical driver of hospital staffing demand. Brazil's SUS opened more than 10,057 new hospital beds in 2025, totaling 360,444 beds. The Ministry of Health invested R$68.8 million in hospital emergency care, ten times more than in 2022. The "Agora Tem Especialistas" program achieved historic milestones, with 14.7 million elective surgeries (42% more than in 2022) and 31,000 transplants (21% more). Colombia opened 2,897 hospitals between 2022 and 2025, with 10,934 health service provider institutions registered nationwide. The country has 102,319 operational beds and 3,976 operating rooms, creating substantial demand for clinical staffing. These infrastructure expansions create substantial demand for both permanent and temporary clinical staffing to staff new beds and service lines.
• Government workforce expansion programs: Government-led workforce expansion programs across South America are driving market growth and creating new demand for staffing services. Brazil's Mais Médicos (More Doctors) program expanded by 99% from 2023 to 2025, growing from 13,700 to 27,300 physicians in active service. The program aims to reach 28,000 professionals by 2027 and currently serves approximately 67 million people across Brazil. The "Agora Tem Especialistas" program has surpassed historic marks, significantly expanding access to specialized care. The SUS Workforce Census, initiated in July 2025, aims to gather data on training, roles, and workplaces to support public policy planning for the health workforce. Colombia's Resolution 1444 of 2025 established the Public Policy on Human Talent in Health, a long-term planning instrument with a vision through 2034.

Market Challenges

• Public healthcare underfunding and budget constraints: Public healthcare underfunding is a significant challenge across South America. Colombia's health sector faces an accumulated operating loss of $7.3 trillion pesos, with debts to the provider sector exceeding 32 billion pesos. Argentina's health budget has been significantly reduced, with the Ministry of Health's national budget reduced by 48% in real terms. Hospital workers have reported that salaries are 50% below what is necessary to cover the basic food basket. Brazil's public hospitals face chronic underfunding, despite recent investments. Healthcare providers face ongoing pressure to optimize staffing costs while maintaining patient care quality. The structural shortage of nurses and physicians limits hospitals' ability to fully staff their operations, leading to reliance on temporary and agency staffing.
• Workforce emigration and brain drain: Healthcare professional emigration is a critical challenge across South America. Argentina faces a significant exodus of physicians, with more than 200 healthcare professionals resigning from the Garrahan Hospital alone, migrating to the private sector in search of better remuneration. Resident physicians in Argentina earn approximately $797,061 monthly for more than 60-hour work weeks, driving an exodus to the private sector where incomes can double. Colombia faces professional migration driven by uncompetitive salaries and high stress levels. PAHO has identified migration as a key factor widening workforce gaps in the region. This brain drain creates sustained demand for locum tenens and agency staffing to fill the gaps left by emigrating professionals.
• Workforce retention and high turnover: Workforce retention is a critical challenge across South America. Colombia's physician turnover rate is 13.1%, while nursing turnover reaches 15.8%. Brazil's private hospitals experienced an increase in average personnel turnover from 2.27% to 2.60% in one year. Argentina's Garrahan Hospital reported 245 resignations since the beginning of the conflict, impacting critical areas such as oncology and intensive care. Burnout, uncompetitive salaries, and high stress levels are driving healthcare professionals to leave the profession or reduce their working hours, further exacerbating workforce shortages and sustaining demand for agency staffing.

Market Trends

• Shift toward government workforce planning and digital transformation: South American governments are implementing comprehensive workforce planning and digital transformation initiatives to address staffing shortages. Brazil's SUS Workforce Census, initiated in July 2025, represents a pioneering effort to collect, update, and qualify information about health workers to support public policy planning. The Mais Médicos program has expanded by 99%, with 27,300 physicians now serving 4,500 municipalities. Colombia's Public Policy on Human Talent in Health 2025-2035 establishes a roadmap through 2034 for strengthening, protecting, and strategically developing the health workforce. Digital platforms and online recruitment tools are emerging across the region, increasing the efficiency of hospital staffing procurement.
• Growth of locum tenens and flexible staffing models: Locum tenens physician staffing is the fastest-growing service segment in South America, driven by physician shortages and the increasing reliance on temporary physician coverage to maintain patient access. Argentina's locum tenens market is growing as hospitals turn to temporary specialists to fill gaps left by emigrating professionals. Brazil's locum tenens market is expanding, with hospitals utilizing temporary physicians to cover vacancies in underserved regions. Colombia's locum tenens market is emerging as hospitals seek flexible staffing solutions to address the 62.16% decline in availability of qualified physicians. Flexible staffing models are expanding beyond traditional locum tenens to include travel nursing, per diem staffing, fixed-term contracts, and project-based clinical assignments.
• Expansion of private hospital capacity and staffing demand: Private hospitals represent the fastest-growing hospital ownership segment in South America. Brazil has approximately 2,700 private hospitals, with private hospital chains expanding rapidly. Argentina has approximately 1,740 private hospitals, with the private sector absorbing physicians leaving the public sector. Colombia has approximately 1,093 private hospitals, with the private sector expanding to meet growing demand. Private hospitals face competitive pressure to maintain bed capacity, service lines, and patient satisfaction, creating sustained demand for travel nurses, locum tenens physicians, and permanent placement services. Private hospital staffing is often more responsive to market conditions, with faster procurement cycles and greater flexibility in staffing mix.

Policies

• Brazil's Mais Médicos (More Doctors) program expanded by 99% from 2023 to 2025, growing from 13,700 to 27,300 physicians in active service, with a target of 28,000 professionals by 2027. The program currently serves approximately 67 million people across 4,500 municipalities.
• Brazil's "Agora Tem Especialistas" (Now We Have Specialists) program has achieved historic milestones, with 14.7 million elective surgeries (42% more than in 2022) and 31,000 transplants (21% more). The program aims to address the specialist physician shortage across the country.
• Brazil's SUS Workforce Census, initiated in July 2025, aims to gather data on training, roles, and workplaces to support public policy planning for the health workforce. The census represents a pioneering effort to collect and qualify information about health workers across Brazil.
• Colombia's Resolution 1444 of 2025 established the Public Policy on Human Talent in Health (PPTHS), a long-term planning instrument with a vision through 2034. The policy aims to consolidate a talent management model consistent with the Colombian health system, with a focus on rights, equity, and participation.
• Colombia's Ministry of Health and Social Protection adopted the Public Policy on Human Talent in Health on July 11, 2025, establishing six specific objectives including consolidating a comprehensive quality training system, guaranteeing dignified working conditions, strengthening governance, and implementing long-term strategic planning processes.
• Argentina's government has faced significant criticism from healthcare workers and unions over budget cuts and workforce reductions. The Centro de Economía Política Argentina has documented "particularly serious" reductions in the health sector. The Garrahan Hospital has reported 245 resignations since the beginning of the conflict.
• PAHO has called for immediate interventions to address the health workforce shortage in the Americas, warning that the region could face a deficit of between 600,000 and 2 million health workers by 2030.