The MGMA Cost Survey for Single-Specialty Practices shows median total medical revenue after operating cost per full-time equivalent physician rose seven percent for anesthesiology, 1.6 percent for orthopedic surgery, and 2.5 percent for family medicine. The measure fell 8.8 percent for cardiology, 5.8 percent for pediatrics, 8.4 percent for gastroenterology and 10.8 percent for urology.
The survey also found orthopedic practices logged five percent lower support staff cuts, possibly due to salary freezes and layoffs. Groups with 7-12 FTE physicians saw a decrease of almost 10 percent in support staff costs, while groups with 13 or more FTE physicians saw an 8.5 percent drop.
Many practices undertook freezes on hiring and salaries, while some also carried out layoffs and introduced more part-time staff, said Kenneth Hertz, a principal in the MGMA Health Care Consulting Group. “Pressure to reduce operating costs often focuses on the largest practice cost — personnel,” he said. “While the trend toward part-time employees and job-sharing is likely to continue, we don’t expect to see layoffs continue. Practices will remain cautious and use this time to fine tune their staffing patterns.”
Read the MGMA release on practice revenues.
Read more coverage on practice revenue:
– 10 Articles to Improve Orthopedic and Spine Practice Profits
– Improving Reimbursement for Spine Surgeons: 6 Tips for Communicating With Coders
