After conducting an economic impact study of its 90 member hospitals, the Dallas-Fort Worth Hospital Council reported that, based on employment and earnings, “healthcare has grown into the second-largest sector in North Texas.”
The study was commissioned by the DFWHC Board, which consists of executive leaders from North Texas hospitals. The report was created by Dr. Gerald Doeksen from Oklahoma State University. He used a healthcare-focused computer program to analyze the economic contribution of hospitals and providers and to calculate how many jobs and how much income they created. Results showed healthcare was “only behind the professional, scientific, and technical services sector in North Texas earnings, and [behind] the retail trade in number of employees.”
The report, titled “The Economic Impact of the Member Hospitals of the Dallas-Fort Worth Hospital Council on the State of Texas and the Dallas-Fort Worth Area,” found DFWHC member hospitals contribute $18.4 billion in labor income, a $4.4 billion increase from an identical study conducted in 2013.
It also showed DFWHC member hospitals generated 295,138 total jobs, an increase from the 265,294 jobs recorded in 2013. Doeksen said the data show that North Texas hospitals “do much more than just provide medical services. The employment and income generated and the ripple effect in other businesses throughout the economy are enormous,” he said in a statement. “The study clearly demonstrates that member hospitals of DFWHC are major players in economic development in Texas.”
Hospital systems that participated were Baylor Scott & White Health, Kindred Healthcare, Hunt Memorial Hospital District, Medical City Healthcare, Methodist Health System, Texas Health Resources, and Tenet Health Care System. Individual hospitals included Children’s Health, Cook Children’s, JPS Health Network, Parkland Health and Hospital System, Texas Scottish Rite Hospital for Children, UT Southwestern University Hospitals, and other hospitals in DFW.
W. Steve Love, president of DFWHC, says hospitals act as economic engines and generate huge financial impacts for the communities they serve. “Economic developers frequently seek manufacturing and high technology industries that will create new jobs,” Love said. “The activities of the DFWHC-member hospitals are attracting these industries and must be recognized as a large contributor to the economy. Policies should be adopted to encourage the economic impact generated by hospitals to ensure continued economic growth for North Texas and the state.”