Hospital-Centric Healthcare The Business of Healthcare

Hospital CEO Gets a Raise. You? We’re Not So Sure.

December 2, 2013

Hey, I’ve got a great job for you.

A study released earlier this year found little correlation between nonprofit hospitals’ CEO pay, which averaged almost $600,000 per year, and performance in respect of charity hospitals’ touted values — charity care and mortality rates — or patient care.

What are these people being paid for? Won’t someone do it for less?

Why would anyone donate at to a charity if the CEO, who optimally would be either a volunteer or paid at say a high school teacher level, is earning a wasteful salary?

Oh, your job? It’s tied to performance in the hospital’s ACO. Sorry, the exact number is going to be determined by a committee after the fact. Trust us.

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