MetroHealth CEO redesigned exec pay in 1st year

Airica Steed, EdD, RN, has spent the last year tightening oversight on compensation and revising policies to install more granular checks and balances, according to a report from cleveland.com.

Dr. Steed ended a supplemental bonus program that was tied to the exit of her predecessor, Akram Boutros, MD, who the board claims used the program to collect $1.9 million in bonuses without board approval. The system leadership's compensation is now based on performance and meeting systemwide goals, according to the report.

Under the new program, the leadership team can earn 100% of their total salary contingent upon the system meeting performance goals, and less if they do not, according to the report. The system's goals include metrics around quality, patient experience, financial health, health equity and more. The whole team has to meet their goals to trigger the full bonuses.

Previously, the bonuses had been based on individual goals.

Executives, physician leaders and department chairs are among the 220 leaders with 8% to 35% of their salary tied to performance-based compensation. KPMG as an outside auditor determines whether MetroHealth meets their goals to trigger full compensation.

Dr. Steed created a chief people officer role for the system, with accountabilities over executive salaries. She will not participate in salary discussions for any health system leaders, including herself. The board also created a human resources and compensation committee to evaluate salaries closely.

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