Physician recruitment competition increases starting salaries and benefits

With future success on the line, healthcare systems and physician practices are racing to hire more new physicians than the competition, and the recruitment wars are pushing up starting salaries and benefits for doctors finds the latest Medical Group Management Association (MGMA) Physician Placement Starting Salary Survey.

The 2014 report released last week by the MGMA is based on 2013 data from 5,318 providers in 567 medical organizations. Primary care physicians who responded to the survey reported $186,475 in median first-year guaranteed compensation when placed in a new practice, and specialists reported $260,000 when placed in a new practice.

In addition, survey respondents reported richer benefits than in years past. More than half (60 percent) of physicians placed in a new practice reported receiving signing bonuses. In addition, paid relocation packages are becoming standard with 72 percent of physicians placed in a new practice reporting having accepted such a package as part of their employment offer.

This year, the survey also asked about the amount given to providers for their Continuing Medical Education. This newer benefit is another way practices are trying to attract more physician hires. 

“With the initial uncertainty surrounding how [Affordable Care Act, (ACA)] insurance exchanges would impact healthcare organizations, medical practices were very savvy in planning ahead and anticipating how potential changes to their population may affect their ability to accommodate patients,” noted Laura Palmer, FACMPE, MGMA senior industry analyst, in the press release announcing the report.

Electronic access to the report is available for a fee here.