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5 Ways Telehealth Impacts the Psychiatry Job Search

July 2, 2025

The rapid expansion of telemedicine continues to impact all areas of care delivery, but perhaps no specialty has been more affected than psychiatry. While most medical visits require physical examination, a psychiatric exam is primarily verbal and thus well-suited for virtual care. This was true long before the pandemic accelerated telehealth usage, and it continues to be true now, as adoption still climbs. 

The rise of telehealth benefits both patients and clinicians. Telehealth technology allows mental health providers to evaluate and treat patients who may live too far to be seen in a clinic or whose diagnoses (anxiety, depression, etc.) make it more challenging to attend in-person appointments. For clinicians, telemedicine supports a better work-life balance by eliminating long commutes and improving efficiency. For these reasons, it’s not surprising to learn that mental health clinicians make up nearly 40% of the telemedicine workforce.

As Regional Vice President of Physician Recruitment for Jackson Physician Search, I have witnessed a significant increase in physicians’ interest in telehealth positions across all specialties. However, this trend is particularly notable among psychiatrists and other mental healthcare providers. Telehealth jobs are indeed more prevalent in psychiatry, but it is crucial for these physicians to understand how practicing remotely may affect their career opportunities. Whether you are seeking a full-remote, in-person, or hybrid psychiatry job, there are a few things you should know about the impact of telehealth on your psychiatry job search.

1. Rising Demand and Shifting Job Structures

The COVID-19 pandemic accelerated the adoption of telehealth across the behavioral health sector. The urgent need to maintain continuity of care during lockdowns and to address the dramatic rise in mental health conditions drove this surge, as anxiety and depression increased globally by about 25% during the pandemic. The result: a marked increase in demand for psychiatrists, as more patients sought help for behavioral health issues from home.

This demand for mental health services has been met with an increase in both the availability of telepsychiatry jobs and the desire to work those jobs. However, not all psychiatry jobs can be fully remote, and many clients find in-person psychiatry jobs more challenging. To make those positions more attractive, many organizations are finding ways to incorporate telepsychiatry. Hybrid positions are increasingly common, with employers offering schedules that blend in-person and virtual care.

Takeaway: Demand for telepsychiatry from patients and clinicians alike has increased the number of available telepsychiatry jobs. However, most psychiatry jobs will not be fully remote, and hybrid jobs are increasingly the standard.

2. Access, Equity, and Patient Outcomes

Telepsychiatry has played a pivotal role in bridging gaps in mental health access. Patients benefit from the convenience of virtual visits, reduced travel time, and the ability to avoid crowded waiting rooms. For psychiatrists, this means a broader, more consistent patient base and the ability to deliver care to those who might otherwise go untreated.

Studies indicate that telepsychiatry can lead to more frequent mental health visits and improved continuity of care, especially for patients with severe mental illness. Both patients and providers report high satisfaction rates, and the quality of care delivered virtually is comparable to in-person visits for many conditions, such as depression and anxiety.

Takeaway: Telehealth has expanded access to care, often enabling psychiatrists to manage larger patient panels and work with previously hard-to-reach patient populations. Outcomes are largely positive, but the increased demand will likely worsen the psychiatrist shortage.

3. Telehealth Comes with Trade-Offs 

Telehealth jobs are highly sought after due to the flexibility that remote work offers psychiatrists. Many clinicians now have the option to work from home, set their schedules, and avoid the logistical challenges of commuting or relocating for work. This flexibility — and the work-life balance it promises — is attractive, but not without trade-offs. 

  • Compensation: Telepsychiatry roles may offer lower compensation compared to traditional on-site positions. Physicians should weigh the benefits of flexibility and reduced overhead against potential income differences.
  • Collegiality: Remote work is convenient, but it can be lonely. Psychiatrists who work 100% remote jobs sacrifice the collegiality and collaborative nature of working in a clinic or hospital.
  • Development: Working from home also limits development opportunities, as interactions with mentors are minimal. Psychiatrists, particularly those with leadership goals, should consider the importance of face-to-face time with both patients and administrators.

Takeaway: Telespychiatry jobs may be attractive, but they also have drawbacks. Psychiatrists seeking 100% remote work should consider what they may be giving up in terms of compensation, collegiality, and development opportunities.

4. Regulations and Reimbursement

The urgent need for telehealth during the pandemic resulted in temporary regulation and reimbursement changes that made practicing via telehealth easier. While those initial waivers expired, the overall success of telehealth led to some permanent changes at both the state and federal levels. However, much remains in flux as telehealth usage continues to evolve. Reimbursement policies vary between Medicare, Medicaid, and private payers. Federal regulations related to HIPAA and the Ryan Haight Act, as well as state policies, add further layers of complexity.

Takeaway: Although they recognize the need for telepsychiatry, hiring organizations often cite concerns about reimbursement and regulations. Psychiatrists seeking telehealth jobs should stay informed about evolving payer policies and changing regulations and understand the implications for themselves and their potential employers.

5. Licensing and the Psychiatry Job Search

Psychiatrists must be licensed to practice in any state in which their patients reside. As many telehealth companies offer services across state lines, psychiatrists seeking remote employment will need multiple state licenses. Many states have joined compacts like the Interstate Medical Licensure Compact (IMLC) and the Psychology Interjurisdictional Compact (PSYPACT), which allow psychiatrists and psychologists to practice across state lines more easily. Psychiatrists who are already licensed to practice in the states that the company serves may be more attractive candidates.

Takeaway: Psychiatrists seeking telehealth jobs may want to invest in licensing through the IMLC. If your state of primary residence and licensure is a member, it can fast-track your licensure in other member states.

Future of Telepsychiatry Jobs

The telepsychiatry market is projected to grow rapidly, with estimates suggesting it could quadruple in value by 2032. The field has demonstrated effectiveness, improved access for underserved populations, and offered psychiatrists new ways to structure their careers. As technology and policy evolve, psychiatrists who adapt to virtual care models will find a dynamic and expanding job market, with opportunities to shape the future of mental health delivery.

If you are seeking a new psychiatry job, the team at Jackson Physician Search is eager to connect you with clients hiring for 100% remote, hybrid, and in-person roles. Reach out today to tell us more about your needs or start searching for psychiatry jobs online now. 


About Tara Osseck

With over 15 years of experience in the healthcare industry, Regional Vice President of Recruiting Tara Osseck specializes in matching healthcare organizations with physicians who are a strong cultural and professional fit. Her healthcare career began as a physician liaison. It quickly expanded to include physician recruitment, strategic planning, and business development, working for various hospitals throughout Memphis, Tennessee, and St. Louis, Missouri. Based in St. Louis, Osseck leads the firm’s Midwest Division, placing providers across the Midwest and Upper Midwest. She earned a bachelor’s degree from Truman State University and a master’s degree in healthcare administration and management from the University of Memphis.

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