Compliance and license considerations for hiring pharmacists

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Pharmacies in the USA operate under stringent compliance criteria and regulations, and so do the compliance and licensing considerations to be adhered to while hiring pharmacists. Pharmacists play a vital role in dispensing medications, optimizing dosages, and drug administration. To avoid adverse drug events that can risk the patient’s health, the government has imposed strict guidelines on the license requirements and compliance regulations for Pharmacist hiring. Each state has its own State Pharmacy Board, which is responsible for establishing these criteria and issuing pharmacist licenses. As per the DataUSA statistics from 2022, there are 346,479 licensed Pharmacists in the USA. However, the demand for pharmacists is very high. The Bureau of Labor Statistics projects that pharmacist vacancies will grow by 5% in the upcoming decade. This signifies the need to hire more skilled pharmacists in your facilities while ensuring strict adherence to pharmacist licensing and regulatory requirements.

compliance-and-license-considerations-for-hiring-pharmacists

Hiring contract pharmacists: what healthcare organizations need to know about pharmacist licensing requirements

  • The pharmacist should have a valid license issued by the state’s pharmacy board to practice as a pharmacist in your facility. If the pharmacist hired is licensed in another state, proof of license and endorsement needs to be submitted in the state where your facility is located.
  • To verify that the candidate is authorized to work in the state, a detailed professional license verification and license renewal history must be done. Some states provide license verification via the National Association of Boards of Pharmacy (NABP) portal. 
  • A thorough background check is essential to rule out that the candidate does not have any drug abuse issues or criminal background, which can put the patient’s life at risk. Moreover, extensive credentialing is important to verify the educational qualifications, experience, and certifications listed by the candidate. 
  • If necessary, make the candidate undergo drug screening after getting consent from the candidate.
  • If your facility has the plan to utilize the pharmacists in tele-pharmacy roles, ensure that the pharmacist is licensed to provide tele-pharmaceutical interventions in the state where the patient is residing.

Compliance with employment laws and regulations

  • As per federal regulations, pharmacists who dispense controlled substances must have a valid Drug Enforcement Administration (DEA) Registration number which needs to be verified and documented by the healthcare facility.
  • Some states provide the provision for licensed pharmacists to work alongside physicians to prescribe medications and implement drug therapy. In such states, the healthcare facility needs to ensure that the Collaborative Practice Agreements (CPA) are intact and compliant with the state regulations.
  • If the pharmacists are required to provide service to patients covered under Medicare or Medicaid programs, the facility needs to ensure that the pharmacist is compliant with all the regulatory requirements of this program. 
  • Healthcare facilities need to ensure that the pharmacists hired are provided a safe working environment as per the healthcare employment laws described under the Occupational Safety and Health Administration (OSHA) standards. 
  • Fair Labor Standards Act (FLSA) compliance requirements have to be followed which contains the healthcare employment laws governing the wages and working hours of the employees. 
  • Anti-discrimination laws need to be strictly adhered to by ensuring that the candidates are not subjected to discrimination based on gender, race, color, national origin, religion, disabilities, or age.
  • Finally, the contract terms and conditions need to be carefully drafted and should include all the terms and conditions pertaining to the compensation, termination criteria, and confidentiality clauses. 

How to perform credential verification and background checks?

Verification of the credentials and background check process can be done efficiently by collaborating with an experienced Medical Staffing solutions provider. The credentialing and compliance check process requires utmost care to be taken to navigate any potential risks that may arise in the future. The license of the candidate can be verified via the National Association of Boards of Pharmacy (NABP) portal. The license status of the candidate, along with their license renewal history are some important checkpoints. National Practitioner Data Bank (NPDB) is a secure and confidential database that contains the healthcare professionals’ professional history including malpractice claims, misconduct information, and adverse license actions taken against them. This database can be utilized for the background verification process. Considering references from previous employers can help facilities with employment history verification and authenticate the credentials submitted by the candidate. 

HIPAA compliance and data privacy

HIPAA compliance requirements are critical in the healthcare sector and the hired pharmacists need to be trained on the HIPAA compliance regulations and data privacy policies. The Health Insurance Portability and Accountability Act (HIPAA) lists the federal rules and guidelines related to the data collection, secured storage, and transfer of patient health information (PHI). The law emphasizes the significance of data privacy and stipulates that protected health information must be kept confidential by limiting only authorized personnel to access these collected health records and patient details to secure data privacy. 

Also, in any event of data infringement, the patient needs to be informed as soon as possible. When pharmacists are required to access this protected health information on behalf of the healthcare facility, a Business Associate Agreement (BAA) needs to be signed by the pharmacists. Furthermore, if the pharmacist’s duties include telepharmacy, all essential steps need to be taken by the healthcare facility to ensure adherence to HIPAA regulations during the entire period of practice. This may include using authorized software, establishing secure authentication techniques, and encrypting sensitive patient details. 

According to the data from the US Bureau of Labor Statistics, Florida is one of the top five states that has the highest employment of pharmacists with 21,360 licensed pharmacists. The  in Florida are clearly mentioned by the Florida Board of Pharmacy on their website, which outlines various permits and types of licenses that the pharmacist needs to take based on their work requirements and eligibility criteria. This includes the Pharmacist Collaborative Practice certification, Immunization administration certification, Out-of-State telehealth provider registration, etc. 

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Conclusion

Hiring a pharmacist licensed in your state who complies with all the regulatory and compliance requirements as detailed by the state can be a bit challenging. To keep up with the increasing patient demand while navigating the compliance challenges of pharmacist hiring, an ideal way is to hire contract pharmacists through a pharmacist staffing solutions provider or an agency. By collaborating with this entity, you can mitigate the risks and the burdensome administrative processes associated with pharmacist hiring. However, a key consideration while associating with these medical staffing agencies is their pricing system. They operate on the traditional markup model, well-known for its non-transparent pricing system, and provide a huge bill rate due to their huge markup fees, causing your contract pharmacists to get paid below market standards. 

How MedSquirrels can help you hire pharmacists legally and ethically

MedSquirrels is a medical staffing platform leveraging technologies like AI and automation to streamline the end-to-end contract pharmacist recruitment process. With the MedSquirrels platform, customized job descriptions for pharmacists will be crafted to adhere to the state regulations governing licensed pharmacists’ duties. By having experienced healthcare recruiters validate the automated processes, we ensure zero errors and risks associated with pharmacist hiring. We make sure that you get the best candidate for your facility, be it a full-time pharmacist or a contract pharmacist. 

With our Orange and Purple plans, we provide end-to-end EOR services from contract recruitment to payrolling with just a flat license fee along with the payroll cost. We also have the Blue plan to support the full-time hiring of Pharmacists. Our platform provides complete transparency in our pricing and does not have any hidden charges or markup fees, such as those associated with traditional pharmacist staffing agencies. With our unique pricing model, you can ensure your pharmacists get paid above industry standards. Book a demo today to learn more about our staffing platform.

FAQs

How is MedSquirrels different from other staffing agencies?

MedSquirrels is a healthcare staffing solutions platform leveraging technologies like AI and automation to streamline the entire healthcare staffing process. Moreover, MedSquirrels doesn’t charge huge markup fees or hidden bill rates like most traditional staffing agencies. There is only a flat license fee, along with the payroll cost that you need to pay per hire at MedSquirrels.

 Can MedSquirrels support contract pharmacist hiring?

 MedSquirrels does support contract pharmacist hiring and has one of the most popular plans for contract hiring + payrolling (Orange plan) where all the contract staffing needs of your facility from candidate sourcing, resume screening, credentialing, compliance check, onboarding, and payrolling will be taken care of. MedSquirrels also has the purple plan for recruitment only option.

How can I rely on the recruitment process at MedSquirrels?

The entire stages of MedSquirrels’ recruitment process are transparent and are made available to the user via the portal. Healthcare facilities can track the status of their recruitment process at any time from anywhere with just a single click. 

How can healthcare facilities attract top pharmacists?

The top strategies to attract talented pharmacists to your healthcare facilities include providing competitive compensation based on market standards, offering career advancement opportunities, fostering a positive work culture, promoting work-life balance, offering flexible shifts, and providing additional perks and benefits.

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