Employee turnover has become a major detriment to healthcare companies. Practices can lose hundreds of thousands of dollars as well as the collateral benefits each employee brings.
When a physician leaves a healthcare organization, the impact can reverberate throughout the entire practice. Monetary costs can be quite high and are only made worse by the time and effort it takes to replace the physician. If your healthcare organization hasn’t calculated the cost of physician turnover, below you will find a list of expenditures you can expect to face.
1. Job Listings
To find the most qualified candidate, practices must advertise far and wide. It will take specialists a significant amount of time and effort to place ads everywhere from online recruiting forums to social media accounts.
After the job is posted, each application must be reviewed. Candidates must be selected from countless curriculum vitae submissions. Schedules must be coordinated in order to arrange interviews that meet everyone’s needs. Once there is a consensus on which candidate fits the bill, negotiations must take place, contracts must be drawn up, and final arrangements must be made. These arrangements may include relocation and travel costs. The time, effort, and expense of this evaluation period can cost approximately $60,000.00.
3. Loss of Benefits
When a physician leaves, a gap in service is created and any revenue that physician brought in instantly ceases. This is one of the largest monetary costs that healthcare organizations face, in fact, they can lose around $1 million in revenue per each lost physician.
4. Training Period
While a physician has the medical knowledge he or she may need for the position, there is still the need for training. Each facility functions differently and it may take years for a new employee to fully assimilate into the healthcare system. This onboarding period may cost around $200,000.00 per employee.
Fortunately, there are ways that healthcare organizations can avoid some of the costs of turnover, or even avoid turnover altogether. Locum Tenens physicians can fill in for gaps in services when doctors leave and they may even turn into full time physicians, themselves. Furthermore, these temporary physicians can also help ease some of the strain employees feel that typically leads to turnover. If your practice is ready to gain the benefits of Locum Tenens workers, please contact Medstaff today.