Physicians Turn to Gig Work

Sep 19, 2023 | Healthcare

The onset of COVID-19 exacerbated hospital overcrowding and staff shortages, resulting in more overworked doctors and nurses. Increased burnout and shrinking pay have led many medical professionals to look for a change. According to a recent study in the Journal of General Internal Medicine, nearly a quarter of all physicians in the U.S. said they planned to quit in the next two years (Smith & Delandro). 

Often doctors would transition to temporary assignments during retirement, but many are making the jump to part-time positions earlier in their careers. “About 50,000 doctors, or 7% of the U.S. physician workforce, not including foreign medical-school graduates, now practice medicine via temporary assignments according to medical-staffing company CHG Healthcare. That is a nearly 90% increase from 2015,” (Tarrant).

The flexibility of temporary positions has been appealing to overworked healthcare workers. Freelance physicians usually have the freedom to work as much as they would like and take vacations when they see fit. Yet, as an independent contractor, they do not receive paid vacation, sick time, or any benefits or insurance from the employer. They are also responsible for funding their own retirement. In order to compensate for the lack of benefits, they are usually paid at a higher rate. “Doctors and staffing agencies say working temporary hospital gigs typically can pay 30% to 50% more than what a full-time hospital staff doctor would earn – and sometimes more, depending on the specialty and location,” (Tarrant).

Since they work separate from the hospital entity, the temporary physicians can avoid problematic bureaucratic pressures and hospital productivity metrics. However, prospects must be able to get up to speed in a new and fast-paced work environment.   Also, “Temporary positions require doctors to fulfill credential and licensing requirements for every state or facility they practice in,” (Smith & Delandro). This can be limiting, depending on the physician’s education and licensure status.

Some professionals worry that a greater reliance on temporary doctors can be troublesome for patients, especially in fields such as obstetrics and pediatrics where continuity of care is important.. Yet, temporary physicians are the reason community hospitals, especially in rural areas, are able to provide basic services and continual care. Full-time hospital employees can find themselves distracted with meetings and administrative work, while for-hire doctors can focus strictly on providing care to patients.

Temporary doctors appear to be beneficial for both patients and the physicians themselves. This practice provides an effective way to prevent burnout among health care workers while providing efficient care to patients.

 

Article contributed by Terri L. Marakos, CPA, CHBC

References:

Gretchen Tarrant, “Burned Out, Doctors Turn to Temp Work”, https://www.wsj.com/articles/the-rise-of-the-part-time-doctor-7025ec1d, June 6, 2023.

Nick Smith, Taylor Delandro, “Doctors turning to temp work, but is it good for patients?”, https://www.kron4.com/news/national/doctors-turning-to-temp-work-but-is-it-good-for-patients/, June 9, 2023.

Seka Palikuca, “Lone wolf: The pros and cons of life as an independent contractor”, https://thedo.osteopathic.org/2019/01/lone-wolf-the-pros-and-cons-of-life-as-an-independent-contractor/, January 16, 2019.

 

Subscribe to our Accounting, Tax and Business Insights Newsletter

This field is for validation purposes and should be left unchanged.
Email Address:
Name(Required)
Privacy(Required)
New Jersey and You: Perfect together?

New Jersey and You: Perfect together?

On a recent visit to the website of the Tax Foundation, I was taken aback, but not surprised, to read “New Jersey’s tax system ranks 50th overall on our 2023 State Business Tax Climate Index”.  This Index is designed to show how well states structure their tax systems...

read more
Need to Make Payments to the IRS? You Have Options.

Need to Make Payments to the IRS? You Have Options.

The IRS is making it easier for taxpayers who will be making payments on a tax liability over time. Individual taxpayers who have combined liabilities for taxes, penalty, and interest less than $50,000 and businesses owing $25,000 or less for payroll taxes, penalty,...

read more
Good News for New Jersey Taxpayers

Good News for New Jersey Taxpayers

According to the Tax Foundation, New Jersey’s property tax collections per capita are higher than any other state.  Many of our clients, especially seniors, contemplate moving either to escape our cold weather or to escape our notorious property taxes. In an effort to...

read more
Client Spotlight: D’Arcy Johnson Day

Client Spotlight: D’Arcy Johnson Day

D’Arcy Johnson Day was founded in 2008 when the law offices of D’Arcy Johnson (Patrick D’Arcy, Andrew D’Arcy & Steven Johnson) combined with Christopher Day and Richard Albuquerque.  Both firms specialized in representing injured people and their goal was to...

read more
Tax Trivia

Tax Trivia

In honor of the end of this year's tax season, here's some trivia questions for you! We can't promise they'll make you a hit at the next dinner party, but some of them are interesting nonetheless. How many answers do you know?The first true income tax ever was in what...

read more
Where does it Come From?

Where does it Come From?

We’ve all seen the pie charts of where our federal dollars go, but I had never thought about where those dollars come from until I read an article in the Wall Street Journal last April.  Would you be as surprised as I to find out that just over half of federal...

read more