Hospital CEOs Rank Among Highest Compensated at Major Non-Profits

Executive compensation at some of the country’s most prominent non-profit institutions routinely exceeds $1 million, and with it comes increasing scrutiny, according to a report from The Chronicle of Philanthropy.

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Every year, The Chronicle issues a report on the executive compensation of the nation’s largest non-profit organizations that raise the most money from private sources, earn the most in grants and are followed by other watchdog groups.

Of the top 10 highest paid non-profit CEOs in 2010, five led hospitals. They included the following:

•    Herbert Pardes, MD, former CEO of NewYork-Presbyterian Hospital in New York City: $4.35 million
•    Gary Gottlieb, MD, CEO of Partners HealthCare in Boston: $3.14 million
•    Delos “Toby” Cosgrove, MD, CEO of Cleveland Clinic: $2.25 million
•    James Mandell, MD, CEO of Boston Children’s Hospital: $1.86 million
•    John Noseworthy, MD, CEO of Mayo Clinic in Rochester, Minn.: $1.64 million

Ken Berger, president of the non-profit group Charity Navigator, told Bloomberg Businessweek that having million-dollar compensation packages for those running public charities is “absurd.” However, Chronicle Editor Stacy Palmer said it’s also a sign of the times.

“Most [leaders] at non-profits are not millionaires, and it’s been tough times with many people not getting raises,” she said in the report. “But there’s also a lot more focus on results, and that means paying for talent.”

More Articles on Hospital CEO Compensation:

Johns Hopkins Physician: Children’s Hospital CEO Pay Needs More Accountability

Hospital CEO Salary Increases: 36 Statistics by Percentiles

Hospital, Health System CEOs Receive 3% Salary Raises in 2012

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