News Summary
Houston’s health care sector is gaining national recognition with top rankings among employers, a surge in job opportunities, and rising health care spending. The city’s largest industry has added over 100,000 jobs in the past decade and is projected to create an additional 12,800 jobs this year. Factors driving this growth include an aging population and increasing demand for services. While challenges such as Medicaid cuts loom, the overall outlook for Houston’s health care industry remains optimistic as it continues to evolve and expand.
Texas — Houston Methodist has retained its prominent position in the healthcare sector, ranked No. 3 among Texas employers in Forbes’ seventh annual America’s Best Employers By State list. This marks a decline from its No. 1 ranking in the previous year. The Cook Children’s Health Care System in Fort Worth made the list as well, securing the No. 10 spot. Other notable Houston-based health care employers that appeared on this prestigious list include the University of Texas MD Anderson Cancer Center at No. 14 and Memorial Hermann Health System at No. 24.
Several other institutions in Texas also received rankings, with the Baylor College of Medicine at No. 43, the University of Texas Health Science Center at Houston at No. 73, and the University of Texas Medical Branch at Galveston at No. 84. In total, Forbes highlighted 1,417 companies across various industries in its 2025 rankings, showcasing the competitive landscape of employment within the state.
The healthcare sector is rapidly expanding in Houston, recognized as the fastest-growing large industry in the area. As of May 2025, more than 396,000 individuals were employed in health care and social assistance roles in Houston, underscoring the critical demand for healthcare services. This demand is driven by several factors, including a significant population growth. Between 2013 and 2023, Houston saw a 50% increase in residents aged 65 and older, a demographic that typically has higher healthcare needs.
As healthcare costs continue to rise, U.S. companies are projected to spend an estimated 9.5% more on employee health care in 2026, reaching about $17,000 per employee. This increase can be attributed to growing rates of chronic conditions and heightened spending on prescription drugs, particularly in the categories of name-brand and specialty medications.
The Texas Medical Center, a hub for health care services in Houston, currently accounts for roughly one-third of all healthcare jobs in the region. It has been expanding its workforce by about 10% annually to meet the surging community demand. Over the past decade, the health care sector in Houston has witnessed the addition of over 100,000 jobs, with projections indicating that another 12,800 jobs will be created by the end of this year.
Looking ahead, the health care sector in Houston is expected to surpass government as the largest employer by 2062, with some analyses suggesting that this could happen even sooner. While the demand for healthcare services continues to grow due to population trends and an increasing incidence of chronic diseases, challenges remain on the horizon. Potential Medicaid cuts and shifts in policy could impact hospital funding, leading to staffing challenges within healthcare facilities.
In conclusion, the health care industry in Houston is poised for substantial growth, bolstered by recognized employers and an expanding job market. As the population increases and the demand for healthcare services continues to rise, the city’s healthcare system faces both opportunities and challenges in adapting to these changes. The rankings highlighted by Forbes serve as a testament to the quality of health care employment in the region, positioning Houston as a significant player in the nation’s health care landscape.
Deeper Dive: News & Info About This Topic
- KHOU: Houston Health Care Sector Forbes Best Texas Employers List
- KHOU: Employer Healthcare Costs 2026
- Houston Chronicle: Health Care Industry Growth in Houston
- Click2Houston: Why Are More Houston Healthcare Providers Leaving?
- ABC13: Health Care Jobs Hiring Job Fair in Texas
- Wikipedia: Healthcare in the United States
- Google Search: Houston Health Care Industry 2023
- Google Scholar: Houston Healthcare Employers
- Encyclopedia Britannica: Health Care
- Google News: Houston Health Care Employment

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