Caregivers Face Pay Cuts and Housing Risks as States Trim Medicaid Funding

States are beginning to slash budgets to comply with the Republican One Big Beautiful Bill Act, which aims to reduce Medicaid spending by roughly $1 trillion over the next decade.

The reductions focus on services that are not federally mandated, leaving many state‑run health programs vulnerable and prompting hospitals to consider cutting staff wages.

Industry observers warn that lower pay could force some caregivers into housing insecurity, raising concerns about workforce retention and patient care quality.