New York, NY (PRWEB) October 13, 2014
Over the past five years, the Physical Therapists industry has grappled with generating industry revenue growth as many provinces and territories have moved toward the privatization of physiotherapy. IBISWorld Economic Analyst Sarah Turk says in updated report, Provincial budgetary issues have incited some provinces to cut their publicly funded healthcare services, thereby moving physiotherapy services into the private sector.
In particular, Ontario announced in 2013 that it plans on eliminating Ontario Health Insurance (OHIP) funding for physiotherapy, which, in turn, has reduced access to physiotherapy for many elderly individuals in long-term care and retirement homes. Furthermore, according to the Canadian Centre for Policy Alternatives’ Reality Check on the Size of BC’s Public Sector, privatization has posed as a hurdle for many physical therapists.
In particular, privatization and contracting out public services, including physical therapy, may result in lower wages and limited benefits for physical therapists. Nevertheless, the industry has benefited from some provinces expanding the scope of care that physical therapists can provide. For example, in 2011, Ontario’s Physiotherapy Act was amended, which has enabled physical therapists to communicate the patient’s diagnosis, treat wounds below the patient’s dermis, assess or rehabilitate pelvic musculature, administer substances via inhalation, prescribe particular tests (i.e. diagnostic ultrasounds or magnetic resonance imagining), order diagnostics (i.e. x-rays or Computerized Tomography (CT) scans) and order laboratory tests, which has benefited the industry. As a result, during the five years to 2014, industry revenue is expected to grow. Profit is expected to rise from during that period, due to the industry being able to garner higher profitability in line with offering more services in many provinces and territories.
During the five years to 2019, industry revenue is forecast to grow. Many healthcare providers will attempt to lower healthcare costs, thereby stimulating demand for physical therapy, particularly for services that help patients with high-cost conditions manage their care at inpatient centres, instead of hospitals, Turk says in the updated report.
For more information, visit IBISWorlds Physical Therapists in Canada industry report page.
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IBISWorld industry Report Key Topics
This industry administers medically prescribed physical therapy treatment; plans and administers educational, recreational and social activities designed to help patients with disabilities regain physical or mental functioning or to adapt to their disabilities; and diagnoses and treats speech, language or hearing problems.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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