Economic Impact of Orthopedic Adult Reconstruction Office Practice: The Implications of Hospital Employment Models on Local Economies

J Arthroplasty. 2015 Jun;30(6):923-30. doi: 10.1016/j.arth.2015.01.007. Epub 2015 Jan 22.

Abstract

The purpose of this study was to evaluate the economic attributes of private practice adult reconstruction (AR) offices. 458 AAHKS surgeons responded; 65% were in private practice (fee-for-service, non-salaried, non-employed AR surgeons). 54% had considered hospital employment in the past two years. The average group employs 13.4 orthopedic surgeons (3.4 AR), and 105 other employees. The average total budget is $12.5 million per year with $4 million in salaries, and $238,000 in tax revenue generated. Co-management joint ventures are a better model than hospital employment for aligning AR surgeons and hospitals and realizing the cost effectiveness and quality improvement goals of PPACA and AARA while preserving the economic impact of AR private practice.

Keywords: PPACA; adult reconstruction; economic impact; hospital employment; private practice; total joint arthroplasty.

MeSH terms

  • Adult
  • Arthroplasty, Replacement / economics
  • Delivery of Health Care / economics*
  • Employment / economics
  • Health Care Reform / economics
  • Health Care Surveys
  • Hospital-Physician Joint Ventures / economics*
  • Humans
  • Medical Staff, Hospital / economics*
  • Orthopedic Procedures / economics*
  • Orthopedics / economics*
  • Physicians / economics
  • Physicians' Offices / economics
  • Plastic Surgery Procedures / economics
  • Private Practice / economics*
  • Surveys and Questionnaires
  • United States