Physician Job Market Trends
Several forces in recent times have changed the physician job market. Perhaps most notable has been the COVID-19 pandemic. Nearly half of physicians changed jobs during the pandemic 1, and the healthcare workforce suffered greatly. In addition, physicians were seeing fewer patients and making less money, and facilities were making significant staff reductions during the pandemic 2. The downturn in demand was most acutely felt in specialties in which treatments can be perceived by patients as elective, Including many surgical specialties. This, among other factors have reshaped the landscape of the U.S. physician job market, and it continues to rapidly change in a number of ways.
Following a drop in physician employment during the pandemic, the Bureau of Labor Statistics (BLS) projects a 2.8% employment growth for physicians between 2021 and 2031. About 23,800 openings for physicians and surgeons are projected each year, on average, over the decade 3. Most of these openings are expected to result from the need to replace workers who change occupations or exit the labor force, such as for retirement. In general, and reflective of this broader growth trend, starting salaries and recruiting incentives tend to be on the rise as well.
There has also been a rise in remote physician work across the U.S. The demand for imaging and behavioral health service in particular has increased to a point that institutions are attempting to fill spots as fast as possible. In the end, this may mean hiring a physician who cannot be on site 4. It is relatively easy for psychiatrists or radiologists to find remote work in this new context. Consistently, compensation is competitive for such specialties, whether for in-person or remote work.
Over the past year, nearly 90% of a large physician recruitment firm’s searches have offered a signing bonus, with most also offering a relocation allowance. It remains very rare for an employer not to provide some form of starting bonus.
A number of marked trends have been identified by specialty as well. Between the spring of 2021 and the spring of 2022, 17% of a large physician recruiting firm’s engagements were for primary care physicians, down from 20% two years prior. Conversely, more than 60% of the firm’s searches were for specialists, with the most commonly requested positions spanning radiology, psychiatry, and obstetrics and gynecology. Neurologists, radiologists, urologists and gastroenterologists have also seen large increases in demand 4. For many specialists, the rise in starting salaries has been stark.
Internal medicine jobs in particular are in high demand, and their salaries have increased 3% in the last five years. There are currently nearly 50,000 internal medicine physician job openings in the U.S., and the job market is expected to grow 7% between 2018 and 2028 according to analysts.
Physician job market trends are projected to remain very optimistic for physicians—specialists, internal medicine clinicians, and across the board—into the near future.
References
1. Survey: Nearly half of physicians changed jobs during the pandemic. Available at: https://chghealthcare.com/blog/physicians-changed-jobs-survey/. (Accessed: 24th June 2023)
2. COVID-19 capsizes the physician job market: Trends you should know | American Medical Association. Available at: https://www.ama-assn.org/medical-residents/transition-resident-attending/covid-19-capsizes-physician-job-market-trends-you. (Accessed: 24th June 2023)
3. Physicians and Surgeons : Occupational Outlook Handbook: : U.S. Bureau of Labor Statistics. Available at: https://www.bls.gov/ooh/healthcare/physicians-and-surgeons.htm. (Accessed: 24th June 2023)
4. Boost for young doctors from notable upswing in physician job market | American Medical Association. Available at: https://www.ama-assn.org/medical-residents/transition-resident-attending/boost-young-doctors-notable-upswing-physician-job. (Accessed: 24th June 2023)