Physician pay, productivity trends are unsustainable: AMGA

Specialists saw a larger pay bump than primary care physicians last year on average, according to AMGA's 2024 Medical Group Compensation and Productivity Survey.

Primary care physicians' median compensation increased 3.6% while medical specialties saw a 5.1% pay bump and surgical specialties had a 5.5% raise. The results are inverted from last year, when primary care physicians had a 6% pay bump while medical and surgical specialties saw 1.4% and 1.6% pay increases on average.

"We are seeing significant productivity increases, which, in essence, drove the compensation increases across specialties," said Fred Horton, president, AMGA Consulting. "Another key finding is that primary care, which has seen strong increases in compensation over the past few years, had the lowest increases of the major specialty categories, as well as negative compensation per wRVU changes. Given the primary care productivity increases, coupled with minimal compensation increases, their compensation/wRVU ratio actually decreased from past years."

The report revealed net collections increases aren't keeping up with pay growth. Overall net collections were up 4.3%, a dip from 5.1% last year. Primary care collections increased 4.5% while surgical specialties reported 5.2% collections increase. Radiology, anesthesiology and pathology reported 4% collections bump. Many hospitals and medical groups aren't seeing reimbursement increases match inflation, so they're asking for increased physician productivity.

"The big challenge is how to maintain a provider supply when you continually ask providers to do more to fund increases, rather than funding such increases with collections to keep pace with inflation," said Mr. Horton. "This trend of production driving increases in compensation is not sustainable."

AMGA surveyed 189,000 providers in more than 190 specialties to gather the data. Here is the data breakdown for physicians:

1. Orthopedic surgery: $723,421 (5.5%)
2. General noninvasive cardiology: $595,827 (7.9% increase)
3. Hematology and medical oncology: $533,402 (7.1% increase)
4. General surgery: $494,287 (5% increase)
5. OB/GYN: $396,300 (3.6% increase)
6. Neurology: $364,467 (6% increase)
7. Internal medicine: $329,527 (3.7% increase)
8. Family medicine: $312,627 (4.2% increase)
9. Pediatrics and adolescent - general: $279,490 (3.1% increase)

Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Whitepapers

Featured Webinars