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Written by Reed Tinsley, CPA | September 19, 2013
Colleagues:
I came up with the following recommendation for a 12 doctor group wherein individual physicians were flaunting violation of group decisions.
Has anyone tried this, or have any other suggestions for controlling rogue physicians?
"A structure of discipline needs to be established, short of termination, to support the group's authority. I would suggest that a structure of fines be established, based on increments of approximately half-day income amounts. This equates well to the cost of "speeding tickets" on the roadways as a cost to an average working person with a median household income of $35,000-$40,000. Since physician incomes here range from the mid $400,000s to the high $700,000s, the fine actual amount could be proportional to the individual, ie a full day fine for a high earner may be more than a full day fine for a lower earner, though the individual impact would be the same. There are approximately 250 work days in the year. Divide the violator's prior calendar year income (including all benefits) by 250 to calculate the one-day fine equivalent. I suggest that for flagrant violators, the fine be applied on a daily basis until the violator complies with the group's wishes, or leaves, with the net impact of the equivalent of "no pay until complying". Applying a fine to a physician would require a majority vote of the Executive Committee (EC), since a unanimous vote requirement would disallow fines on an EC member."
