Sustainability of Call Pay: Transforming a liability into a sustainable reward

Sustainable Call Pay: Transforming a liability into a sustainable reward


In an environment where physician spend is escalating at an unsustainable rate as the physician shortage continues to grow, it has never been more important to find ways to contain cost without compromising physician benefits. This is exactly what our Call Pay Solution is designed to do. Our program helps hospitals reward physicians in more meaningful ways without compromising their financial viability.

Representing a large portion of overall physician spend, the average hospital’s call pay expense has increased 50% since 2012. MaxWorth’s clients have only seen a 4.54% increase over the same time period. One hospital that implemented our Call Pay Solution (LINK)  has only seen a 2 percent annual adjustment to their call pay per diems over the last 13 years.

We achieve these results by designing compensation programs with sustainability in mind. We empower our clients to control the cost of their call pay programs without diminishing payments to physicians. In fact, the program adds significant value to physicians’ call compensation through the Physicians’ Advantage Plan, which allows physicians’ to invest their call compensation pre-tax.

Controlling cost without compromising value may seem like an unrealizable dream, but it’s achievable through the use of funding vehicles that are common in the corporate world but have been underutilized by the healthcare industry. These funding vehicles help hospitals recoup a portion of their call pay expenditures, providing a boost to their bottom line.

The ability to recoup call pay expense allows hospitals to continue to offer competitive contracts in recruitment. It also turns compensation into a powerful retention tool. Physicians tend to think of call pay as a reflection of how much a hospital values them; therefore, they’re less likely to leave an organization providing them with a meaningful benefit they could not find anywhere else. Retention has a big impact on the financial wellness of an organization. When you consider the cost of onboarding, loss of productivity, recruiting searches and signing bonuses, the total cost of losing a single physician can be well over $500,000.

By designing compensation programs that aid in cost recovery, a hospital can take a financial liability and turn it into a sustainable reward, creating a tool that will help them maintain excellent care in their community.


Want to learn how to reduce call pay expenses and improve your hospital’s bottom line? Read our whitepaper, Increasing hospital profitability: How to use creative solutions to curb physician spend.”


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Want to Learn More?

Check out these additional resources for the Call Pay Solution®, our three-phase, six-step process that empowers your organization to create a more fair, transparent and sustainable call pay plan.

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