If you manage staffing for a hospital, clinic, or senior living community, the three terms you'll hear most from agencies are per diem, contract, and travel. They solve different problems, and choosing the right one saves money and headaches.
Per diem: shift-by-shift flexibility
Per diem (literally "by the day") staffing fills individual shifts — a sick call, a census spike, a weekend gap. The clinician works when you need them, with no long-term commitment on either side.
Best for: last-minute callouts, unpredictable census, covering vacations and leaves one shift at a time.
Trade-off: you may see different faces from shift to shift, so per diem works best for roles where orientation is quick.
Contract: stable coverage for a defined stretch
A contract assignment places one clinician with you for a set period — commonly several weeks to a few months. They learn your unit, your charting system, and your patients, and show up on a predictable schedule.
Best for: leaves of absence, seasonal census changes, bridging the gap while you recruit a permanent hire, or standing up a new unit or service line.
Trade-off: you're committing to the term, so scope the need honestly before you sign.
Travel: bringing in talent from outside your market
Travel assignments are contracts filled by clinicians who relocate temporarily for the role, usually because the local market can't supply the specialty or volume you need.
Best for: hard-to-fill specialties, rural locations, or sustained shortages where the local talent pool is tapped.
Trade-off: travel placements typically cost more than local contract staff, so use them where local supply genuinely falls short.
A simple decision rule
- Is the gap measured in shifts? Per diem.
- Is the gap measured in weeks or months, and is the skill available locally? Contract.
- Is the gap measured in months, and the skill is not available locally? Travel.
Many facilities blend all three: a contract clinician anchoring the schedule, per diem filling the edges, and travel reserved for true shortages.
Talk it through with a local agency
The right mix depends on your unit, your market, and your budget. Interim HealthCare Staffing of Minneapolis staffs hospitals, clinics, and senior living communities across the Twin Cities and Southern Minnesota — call (612) 444-JOBS and we'll help you scope the most cost-effective approach for your situation.