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Using Recruitment Incentives to Sign Your Top Choice Candidates

Recruitment incentives continue to shape the physician recruitment marketplace. A review of physician recruitment for 2009/2010 demonstrates acceleration in the need for primary care physicians and the demand for specialty care remains strong. When this demand is coupled with a declining supply of physicians, successful recruitment strategies are essential for organizations wishing to add physicians. These strategies include signing bonuses, tuition loan repayment, relocation benefits and the use of stipends for physicians in training.

Signing Bonus
According to recently published compensation surveys, signing bonuses were offered to approximately 60% of successfully placed physicians in 2009, ranging from $5,000 to $75,000. Specialty physicians reported signing bonuses averaging $22,000 while primary care physicians reported an average of $15,000. Physicians hired immediately from a residency or fellowship program received similar bonus offers as practicing physicians.

Relocation
Paid relocation benefits were offered to more than 90% of successful hires in 2009. Specialty care physicians were more likely to relocate long distances and more likely to receive relocation packages. Physicians hired out of residency and practicing physicians received similar relocation packages.

Loan Repayment
Loan repayment was offered to approximately 20% of newly hired physicians. Primary care physicians were more likely to receive loan repayment packages than specialty care physicians. Physicians hired straight from training programs were more likely to receive these packages than those already in practice.

Stipends
Stipends are used by some medical groups and hospitals as an incentive to sign residents and fellows while they are still training – typically during their last full year of training. When a resident or fellow signs a contract and commits to practice with a specific group or in a specific community, the hospital or medical group can pay that physician a stipend. Stipends typically range from $1,000–1,500 per month for 12 months. Physicians must sign documents acknowledging the stipend is a loan which will be forgiven if they practice in the group/community as agreed. If the physician does not abide by the terms of the agreement, the stipend must be repaid.

Savvy organizations will put together an individualized package for the candidate they are hoping to recruit. A thorough interview will help identify the issues and incentives that are important to the candidate. Then, once you know what's important, be creative and customize the offer to your top choice candidate.

For more information regarding recruitment incentives, please contact us.