Study Finds Clinical Volume Drives Compensation For Most Multispecialty Groups

A recent study analyzed the compensation practices of 12 multispecialty groups and found clinical volume is still a driving factor in physician compensation at a majority of the groups, according to the study in Health Affairs.   

The report found 10 practices paid physicians based on clinical activity and volume. This is often measured in relative value units, which report clinical activity based on factors such as the number of patients seen, the intensity of the service, and the number/type of procedures performed. In addition to a guaranteed base salary, many practices offer additional incentives or bonuses based on RVUs.

The following 10 practices pay partially or totally based on RVU methodology: Billings (Mont.) Clinic, Danville, Penn.-based Geisinger Health System, Guthrie Clinic in Sayre, Penn., Henry Ford Medical Group in Detroit, Intermountain Medical Group in Salt Lake City, Lahey Clinic in Burlington, Mass., Marshfield (Wisc.) Clinic, Oschner Clinic Foundation in New Orleans, and Virginia Mason Hospital and Medical Center in Seattle. Cleveland Clinic uses clinical volume data to determine future salary, but does not award bonuses. Salary is based annual on a comprehensive performance review.

Two practices (Mayo Clinic in Rochester, Minn. and Kaiser Permanente in Rosemont, Calif.) provide fixed salaries, where clinical volume of services does not factor in compensation at all.

None of the practices in the report base compensation on the number of consultations or tests the physicians order. Also, driven by competition to recruit physicians, most practices pay salaries that approximate or nearly approximate what physicians could earn in private practice. Many groups in the report offer benefit programs that exceed those available in many practices.

Read the Health Affairs study on multispecialty group practice compensation.

Read more about physician compensation:

- 8 Factors Affecting Ophthalmologist Compensation

- 8 Statistics on 2010 Anesthesiologist Compensation

- 6 Ways to Determine Staff Compensation at Your Hospital

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