Despite increased financial risks, employment at a private practice offers more autonomy, higher pay, and improved work-life balance in comparison to hospital employment
For some, the safety of employment at a hospital is the top priority for career success. For others however, different factors make the potential of working at a private practice more enticing. What are some of the benefits of employment at a private practice? How do they effect short-term and long-term successes?
In a conversation with Becker’s, Dr. Robert Szabo explained why he believes private practices offer less administrative burdens in comparison to employment with hospitals or health systems.
“Private practice offers physicians more autonomy, particularly less oversight by administrators who are too distant from the practice of medicine to care about the physician-patient relationship,” Szabo said. “Medicine is becoming increasingly sensitive to value, and there is no question that when redesign of practices comes about to reduce cost, the least value-added portion of healthcare is administration. Private practice cuts out the multiple levels of administration that exist in big healthcare systems.”
With the reduction in administration, physicians in private practice take on typical business management burdens, such as reporting and compliance. However, in return, they receive the freedom of adjusting aspects to their liking, improving work-life balance, and reducing burnout.
However, through partnering with corporate partners, such as PE GI Solutions, this administrative burden is reduced. In turn, this allows physicians to provide more focus on patient care. Platforms, such as PE Practice Solutions and PE Center Solutions, provide access to resources, personnel, and tools to allow for a more efficent and profitable business model.
With a lack of well qualified physicians, private practices are offering increased pay rates. These aim to attract top talent, a tool hospitals and health systems are limited in. Private practice also offers the potential for partnerships and increased equity, which can lead to increased profits in the long-term.
This pay increase is especially appealing to new graduates, who are searching for ways to bring in income while managing repayment of student loans and other expenses. While working in private practices brings about some additional work, the opportunity for high pay is forcing physicians, both experienced and new, to consider the option of working outside of a hospital or health system.
Private practice employment can bring benefits in work-life balance. Having input in your schedule can allow for additional freedom. However, with the reduction in administration you may be working on business management tasks, potentially reducing this balance short-term. A successful practice, and a larger staff or future strategic partnership, will reduce the need for physicians to handle these tasks in the future.
If you are a young physician early in your career, investing in a newer practice may seem more appealing. While you may be facing a heavier workload in the short-term, the long-term financial rewards will allow you a better opportunity for work-life balance using profits and a larger staff to offset business management tasks.
So why should you consider working for a private practice over a hospital or hospital system?
- Less administrative burden provides more freedom to operate as you please, placing more emphasis on higher quality patient care rather than conforming to hospital-dictated rules.
- Practices can offer a higher pay to physicians. Investing and gaining equity in a practice also opens the door for increased profits in the long-term future. However, this does come with risk and should be carefully considered.
- Working in a private practice can improve work-life balance. Being able to modify your schedule to meet your needs can reduce symptoms of burnout and fatigue.