Healthcare execs see modest salary bumps
Although modest, hospitals and health systems continued to hand out salary increases to executives and managers last year.
In fact, executives and managers saw their base salaries increase by an average of 2.8 percent at health systems and 2.5 percent at hospitals in 2012, according to a new survey from consulting firm Sullivan, Cotter and Associates, Inc.
The survey looked at nearly 23,600 executives and managers at more than 300 health systems and 980 hospitals and found moderate salary bumps are still the trend in healthcare.
With market pressures and health reform uncertainties, healthcare exec salary increases have been slowing down of late, according to the most recent CEO compensation study from Hay Group. The latest data also falls in line with a spring 2012 survey from consulting firm Integrated Healthcare Strategies that indicated healthcare executives would see slight salary increases in 2012.
The rising compensation trend can be seen in Ohio, where nonprofit hospital executives saw their cash salaries exceed $1 million for the first time, the Dayton Daily News reported.
"We'll continue to see salary increases for executives for the foreseeable future," Ron Seifert, vice president and executive compensation leader of the healthcare sector for Hay Group, told the Daily News.
As hospitals and health systems increase executive compensation, they're also using quality measures to help determine their incentive payments.
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