Healthcare execs' compensation likely to rise with shift to value-based pay
Healthcare system executives salaries are on the rise, and that trend is expected to continue as the healthcare industry continues to move to a value-based reimbursement landscape, Modern Healthcare reported on Monday.
The results of Modern Healthcare's 37th annual Executive Compensation Survey found that for those in the C-suite at healthcare systems, median total cash compensation increased 6% over the past year. That's compared with a 3.1% increase for hospital executives surveyed.
The 2016-2017 survey marked the third consecutive year that healthcare system leaders received raises on par with pre-recession rates, Modern Healthcare reported.
The results of the survey forecast continued pay increases for execs, especially those whose organizations are at the forefront of the changes required to comply with value-based reimbursement models. Long-term care providers are a key part of the value-based equation, which includes an emphasis on lower rehospitalization rates.
The survey also showed that health leaders who are skilled in “operational synergies” will become more valuable as cross-continuum relationships become more common.
Click here to view more results from Modern Healthcare's C-suite compensation survey, including pay breakdowns by position and data on incentive plans.