Confusion over the future of executive salaries in health care

This week’s release of the sunshine list also raises the issue of how health care executives are compensated.

As part of the government’s quality improvement plan, as of April 1st CEO salaries will be linked to performance on quality indicators such as progress on wait times and their ability to balance a budget.

However, in the recent budget the government also announced a plan to cut 10 per cent off executive salaries over the next two years.

Not surprisingly, Ontario Hospital Association President Tom Closson told the Globe and Mail that “government policies are colliding with each other. We haven’t even implemented the quality improvement plan and the pay for performance within it, and now we have another idea piled on.”

At the Ottawa Hospital, the number of employees on the sunshine list actually went into considerable decline from the previous year. In 2010 292 employees made the list, down from 349 the year before. The hospital says that virtually the entire senior management group reporter smaller earnings. That includes CEO Dr. Jack Kitts – his salary dropped by $21,000. However, Dr. Kitts should still be able to pay his Cable bill on $642,000 per year.

Kitts doesn’t take the distinction of having the biggest paycheque, that honour remains with Dr. Robert Bell, CEO of Toronto’s University Health Network. Bell’s compensation in 2010 remains unchanged from the previous year at $753,992.

To check out what your CEO made last year, go to
http://www.fin.gov.on.ca/en/publications/salarydisclosure/2011/

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