Becker's ASC Review

33 ORTHOPEDICS 'Time will tell': What will be orthopedic private equity's long-term reputation? By Carly Behm P rivate equity in orthopedics has the specialty split on its benefits and concerns. e phenomenon is still relatively new, but some physicians are already thinking about the long-term effect it will have on the industry. ree spine surgeons discuss how they think private equity will be seen aer a decade. Question: Will orthopedic private equity be seen as a mistake or success in 10 years? James Chappuis, MD. Spine Center Atlanta: e future of private equity comes down to one question: Are there good checks and balances to ensure the patient and patient care come first? I'm concerned that patient care might be compromised by using it to enhance the company's equity instead of the patient's healing and wellness. Vladimir Sinkov, MD. Sinkov Spine (Las Vegas): e answer will depend on who you ask. e private equity companies will see it as success. In 10 years they most likely will have extracted maximum profits from the medical practices they managed and then have sold them to either insurance companies or large hospital systems — thus further decreasing physician autonomy and patient's ability to choose a doctor they want. e physicians will see it as a mistake. By then they will have abandoned any hope of practice autonomy or ability to earn profits beyond their basic salary. e patients will have little to no choice of what doctor to see, since it will be directed by their insurance company or by their primary treating provider acting as a "gatekeeper." Since there will be no real market competition, the quality of care will likely diminish, and the costs of care will continue to increase. Christian Zimmerman, MD. St. Alphonsus Medical Group and SAHS Neuroscience Institute (Boise, Idaho): For the first time in three decades, the polled American public has a negative majority opinion of healthcare delivery, yet polling about physicians and their social standing, albeit dropped, yet remains slightly positive. is reporting is the preface as it relates to physician-owned medical facilities and the malingering question of enticement and remuneration. Granted growth in this sector is noted but factors of dwindling reimbursements, community practice standards of care and insurance exclusions are targets of discussion and disclosure. Corporate success is also defined by its foundation and principles, and profits and societal mores conflict repeatedly, while not being compatible or conventional partners. Locally, a large for-profit system shuttered a number of centers because of bankruptcy issues and were forced to piecemeal liquidate their healthcare entity, leaving thousands of patients and physicians uncovered and jobless. Time will tell. n 12 stats on physician pay in 2024: Medscape By Claire Wallace O rthopedic surgeons remain the highest paid physician specialty in 2024, despite a 3% decline in pay from the year prior, according to Medscape's 2024 "Physician Compensation Report," published April 12. Here are 12 statistics to know on physician compensation in 2024, per Medscape: 1. Physicians earn an average salary of $363,000 in 2024, while specialists earn an average of $394,000. 2. Orthopedic surgeons earn an average salary of $558,000. 3. The majority of physicians (61%) believe that most U.S. physicians are underpaid. 4. Over half of physicians (51%) feel underpaid in comparison to their work demands. 5. Orthopedic surgeon pay declined by 3% in 2024. 6. The majority of physicians (55%) reported that compensation was a factor when picking a specialty, but for most (38% of all physicians surveyed) it played only a minor role. Forty-five percent said it was not a factor at all. 7. Male specialists earn considerably more than their female specialist counterparts, at $435,000 compared to $333,000. 8. Physicians working in the West North Central region of the U.S., which comprises North Dakota, South Dakota, Minnesota, Iowa, Nebraska, Missouri and Kansas, earn more than physicians working in any other U.S. region. 9. The majority of physicians (61%) do not take side jobs to boost their yearly income. 10. While the average incentive bonus for specialists is $51,000, the average incentive bonus for orthopedic surgeons reaches $102,000. 11. Less than half of orthopedic surgeons (44%) are happy with their compensation. 12. Employed physicians earn less than their self- employed counterparts, at $353,000 and $391,000, respectively. n

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