“I don’t really care how much my CEO makes, but don’t tell me that I make too much.”
-Mary Brooks, Detail Clerk, Kaiser
The Problem: Excessive pay for hospital executives is one of the factors driving up hospital costs. However, the salaries and bonuses paid to hospital CEOs have no direct correlation with the quality of patient care that is delivered to our communities.
We would like to cap nonprofit hospitals’ executive compensation at no more than 15 times the wages of the lowest paid employee.
For comparison, St. Charles Health System President & CEO compensation in 2011 was 51 times the wages of workers at the lowest end of the pay range. Executive compensation is increasing much faster than other employees’ pay.
- Resources spent on excessive compensation are not available for other programs and services that directly impact patient care.
- Paying a hospital executive more is not linked to improving the quality of care patients receive.