The nursing home industry, already struggling with a severe staffing crisis, faces a new challenge as the Biden administration’s suspension of the U.S. refugee program threatens a vital workforce pipeline. Nonprofit resettlement agencies are suing the administration over the decision, warning of dire consequences for both refugees and long-term care facilities.
A Critical Workforce at Risk
Organizations like Church World Service, HIAS, and Lutheran Community Services Northwest have filed a lawsuit, arguing that the suspension and withholding of federal funding for refugee services constitute an “unprecedented and illegal attack” on their work. This has already resulted in thousands of layoffs at resettlement agencies, jeopardizing programs that train and place refugees in long-term care careers. “If the Plaintiff Organizations or their affiliates are not permitted to continue resettling refugees, they might be unable to sustain their operations and could be forced to close local resettlement offices or even face insolvency in the medium- or long-term,” the resettlement groups’ attorneys wrote in the U.S. District Court for Western Washington filing.
This suspension comes at a critical time. The American Health Care Association (AHCA) estimates the industry is short over 190,000 workers compared to pre-pandemic levels. Refugees have increasingly filled these roles, bringing valuable skills and a strong work ethic to an industry desperately needing stability.
Impact on Long-Term Care Providers
LeadingAge President and CEO Katie Smith-Sloan has emphasized the essential role refugee workers play in the sector. “There are just some amazing, amazing success stories,” Smith-Sloan said at an industry event. “These are folks that are here, in the country already. You don’t have to deal with [acquiring] visas, but they need to find jobs.” One Florida life plan community, for example, successfully hired 99 Afghan refugees and retained 95 of them for over two years. These workers received housing, transportation, and language support, facilitating their integration and enabling them to provide high-quality resident care.
Legal Battle and Industry Response
The lawsuit, Pacito et al v. Biden, seeks an immediate injunction to halt the refugee ban and restore funding for resettlement services. The plaintiffs argue that years of investment in refugee job placement programs—including language training, employer partnerships, and community support—are now at risk. AHCA/NCAL and other industry stakeholders have urged the administration to reconsider the suspension, highlighting that it harms both refugees and exacerbates the precarious staffing situation in long-term care. “Individuals who are willing to serve our vulnerable residents—especially during a global pandemic—deserve our appreciation and support,” former AHCA Vice President Clif Porter said following a White House roundtable in 2021.
As this legal battle unfolds, nursing home operators face significant uncertainty regarding hiring and retaining qualified staff. With the aging population and persistent workforce shortages, industry leaders are calling for urgent solutions to ensure a continuous flow of trained and dedicated workers.