New Jersey Has Half the Psychiatrists Needed as Medicaid Cuts Loom
New Jersey has just 53% of the psychiatrists required to care for its 9.5 million residents.

New Jersey has just 53% of the psychiatrists required to care for its 9.5 million residents. The state grapples with workforce shortages in psychiatric hospitals and community providers, according to a report released Tuesday by Inseparable, a mental health advocacy group. Over 1.3 million people in the state had a diagnosed mental health condition as of 2023.
The shortage reaches what Inseparable calls "catastrophic" proportions at psychiatric hospitals. Community providers face the same crisis. This means the lack of staff is serious enough to reduce beds or services for patients who need care.
Behavioral health care needs have grown nationwide in recent years. Nearly half of Americans with mental health challenges go without treatment. Some 80% of those with substance use disorders never receive help, Inseparable said in its report.
"That basically means that there are just such a limited number of available psychiatric beds or psychiatric providers that people are really going without care or waiting very long times to be able to get the care that they need," said Caitlin Hochul, senior vice president of policymaker relations with Inseparable, to Asbury Park Press. "During that time, conditions often worsen and can really result in horrible outcomes when they're not getting the care they need."
A 2023 report from the group found that among state residents with mental health conditions, only 46% of those with Medicaid saw a behavioral health specialist. Just 29% of those with commercial insurance did. National data shows demand for these services has been rising for nearly a decade.
The state has worked to strengthen its behavioral health workforce. Agencies have invested in recruitment. Business interests have put money into training programs. Colleges have developed new initiatives. Advocates say more needs to be done, though, with upcoming cuts to the Medicaid health system. Medicaid covers a large portion of behavioral health care costs in the state.
Debra Wentz, the president and CEO of the New Jersey Association of Mental Health and Addiction Agencies, warned that this funding loss will make existing workforce challenges worse. "The longstanding difficulties in attracting and keeping members of the workforce in behavioral health care, substance use, and social services are about to become even more challenging," Wentz said. "But people still need services and many more individuals will need them in the future."
Inseparable urges states to expand their behavioral health workforce. They suggest improving education for clinicians. Training for paraprofessionals should be strengthened. Licensing processes could be streamlined. Multi-state licensing compacts might help too.




