Opinion: Clinical labor pricing updates are needed to address workforce shortages, financial strain
The ongoing effects of the Covid-19 pandemic on primary care physicians are jarring. Fewer than 30% of primary care physicians are reporting that their practices are on solid financial footing. Coupled with worsening staffing shortages and burnout, the challenges facing physicians have never been more evident.
The pandemic has compounded the financial strain caused by unbalanced and outdated Medicare payments. A big reason is that clinical labor pricing has not been updated in nearly 20 years. Clinical labor pricing data are used to calculate Medicare payment rates. This ensures Medicare payments account for the costs of employing nurses, medical assistants, and other clinical staff.
