How Do GPs View Their Economic Future and What Are Their Biggest Concerns?
Erosion of income and government intervention are the key concerns affecting GPs’ economic future, according to the most recent Annual AusDoc Jobs job seeker survey.
Key Concerns
- Erosion of Income
- Major Concern: Nearly 62% of over 500 GPs surveyed cited income erosion as a top economic concern. They feel that their remuneration hasn’t kept pace with increasing practice costs.
- Inadequate Remuneration: One GP said, “Remuneration is totally inadequate for the years of medical education and training invested.”
- Government Intervention
- Medicare Freeze: The second-highest concern is government actions like the Medicare freeze, which has impacted GPs since 2014. The last part of this freeze was lifted only in July 2020.
- Bulk Billing Pressure: Over 55% of GPs are concerned about the expectation to bulk bill, with this figure rising to 67.4% for those in corporate practice. One GP expressed frustration, saying, “I don’t feel valued as a GP if I keep getting asked to bulk bill or forced to by the government when my colleagues in other specialties don’t.”
- Bulk Billing Issues
- High Rates: National bulk billing rates remain high at 89.3%, but this doesn’t mean GPs prefer it. One GP commented, “The government looks at the bulk billing figures and decides GPs want to do it, but it’s a contentious issue.”
- Economic Stress: GPs in lower socio-economic areas feel pressured to bulk bill. A GP from Central Coast NSW shared, “If I stop bulk billing, I might lose half my patients, but I might end up with the same income with half the patients.”
Additional Concerns
- Geographic Reclassification
- Impact on Income: Continued changes to the eligibility map mean some practices no longer receive regional or district work shortage status benefits, affecting their income. A Central Coast GP noted, “The increase for rural and remote practices affects very few people. The geographic reclassification affects about 7,000 GPs.”
- Encroachment by Other Professions
- Role Overlap: Many GPs are concerned about other professions, like pharmacists and nurses, taking on roles traditionally filled by GPs. One GP said, “Pharmacists offering the flu jab seems reasonable, but in some areas, there is clear encroachment on our role.”
Strategies to Offset Economic Fears
- Offer a Higher Fee Percentage
- Increased Share: Practices can attract GPs by offering a higher percentage of the bulk billing fee. While the average is 70%, some practices offer up to 80%, even just for an introductory period while the new doctor builds up their patient base.
- Offer Loyalty Payments
- Retention Incentives: Corporate practices could offer loyalty payments or increased commission schemes. For example, a GP’s commission could rise from 65% to 70% after three to five years with the same group.
- Share PIP Incentives
- Incentive Sharing: Through the Practice Incentives Program (PIP), practice owners receive payments for services like immunisation. Sharing these incentives with GPs can be a significant attraction.
Conclusion
GPs have significant concerns about their economic future, with income erosion and government intervention being the most pressing. By understanding these concerns and offering attractive compensation packages beyond salary, medical practices and recruiters can better attract and retain top GPs.
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Salary and Benefits