The impact analysis of the UAB Health System included all seven component parts of the organization: the UAB Medicine Enterprise Corporate Office, the UAB Hospital, University of Alabama Health Services Foundation (UAHSF), Medical West, Baptist Health System in Montgomery, Triton Health System / Viva Health Group, and the Callahan Eye Hospital. Besides the overall impact analysis for the UAB Health System, separate impact analyses were conducted for each of the component organizations.
Economic Impact for the State
Direct spending by the UAB Health System generates economic activity throughout Alabama. In FY22, the direct spending of the UAB Health System in combination with the indirect and induced impacts of dollars being re-spent throughout the economy generated $6.4 billion in overall economic impact ($3.5 billion direct impact and $2.9 billion indirect and induced).
Economic impact is generated by the UAB Health System when it spends on goods and supplies, when patient care is provided, and when it pays its employees. These employees then generate indirect and induced impacts when they spend their paychecks on goods and services in the local economy such as food, personal goods, and mortgage/rent. The total impact of all of this spending amounts to the $6.4 billion economic impact of the UAB Health System in the state.
Economic Impact for the Region
Direct spending by the UAB Health System generates economic activity throughout the Birmingham region. In FY22, the direct spending of the UAB Health System in combination with the indirect and induced impacts of dollars being re-spent throughout the economy generated $4.7 billion in overall economic impact ($2.2 billion direct impact and $2.5 billion indirect and induced).
Employment Impact in the State
In FY22, the UAB Health System directly employed 22,983 individuals (full-time or part-time positions). This direct employment generates additional spending throughout the state that in turn supports additional indirect and induced jobs created when the UAB Health System, its employees, patients, and visitors spend in the region and state. In total, UAB Health System supports 57,128 jobs (22,983 direct and 34,145 indirect and induced jobs) throughout Alabama.
Employment Impact in the Region
In FY22, the UAB Health System directly employed 22,983 individuals (full-time or part-time positions) living, and therefore spending dollars, in the Birmingham region. This direct employment generates additional spending throughout the region that in turn supports additional indirect and induced jobs created when the UAB Health System and its employees, patients, and visitors spend in the region. In total, UAB Health System supports 37,314 jobs throughout the Birmingham region.
Tax Impact for the State
Government revenues attributable to the UAB Health System’s presence totaled more than $206.2 million ($59.1 million in direct impact and $147.1 million in indirect and induced impact) in FY22. This income is generated when the UAB Health System and its employees, health professional students, patients, and visitors spend on goods in the region (e.g., at restaurants, retail, hotels/motels, etc.).
Tax Impact for the Region
State and local tax revenues attributable to the UAB Health System’s presence totaled $138.5 million ($14 million in direct impact and $124.5 million in indirect and induced impact) in FY22 for the Birmingham region.
Connecting With the Community
The UAB Health System is intimately engaged with the community through a number of events, donating to local organizations and volunteering time to provide care to residents.
Besides all of the care provided to the community by the organization, UAB Health System employees engage in community outreach on their own time as well. It is estimated that the UAB Health System physicians and staff generate more than $57.7 million annually in charitable donations and volunteer services every year. These benefits are in addition to the $6.4 billion annual economic impact of the UAB Health System and include the following:
$19.7 million donated to local charitable organizations in FY22.
$38 million in value of volunteer time provided to area communities in FY22.