Here's what for-profit health system CEOs, CFOs made in 2022

Everyone thinks physicians make so much money, but there are those who profit extravagantly in our health care system.

Here's what the CEOs and CFOs of major for-profit health systems made in 2022

It was a bad year for hospital C-suites.  They are blaming it on the pandemic. 

In 2022, the CEOs and chief financial officers of HCA Healthcare, Tenet Healthcare, Universal Health Services (UHS), and Community Health Systems (CHS) all received compensation packages anywhere from $1.6 million (CHS CFO Steve Filton) to over $9.7 million (Tenet Healthcare CEO Saum Sutaria, M.D.) lower than the year prior, according to annual proxy statements filed with the Securities and Exchange Commission.

Though each of their organizations turned a profit during 2022, yearlong volume interruptions and rising expenses meant that the companies’ financial results were a marked step back compared to 2021.

For the executives, that meant a slight dip in their stock awards and major cutbacks in nonequity incentive plan compensation, the latter of which are structured to only pay out should the company hit specific performance thresholds.

Still, CEOs of the four for-profit systems managed to bring home a collective $43.3 million across their reported total compensations, per the filings. This was down about a third from 2021’s $65.3 million of collective total compensation.

Source: Securities and Exchange Commission proxy filings

Read on for the full breakdown of how the CEOs and CFOs of HCA Healthcare, Tenet Healthcare, UHS, and CHS made their millions in 2022.

1. Samuel Hazen, HCA Healthcare CEO

2022 total compensation: $14,637,726

CEO to median worker pay ratio: 254:1

2. Saum Sutaria, M.D., Tenet Healthcare CEO

2022 total compensation: $11,047,128                                                                                                  CEO to median worker pay ratio: 189:1

3. Marc Miller, Universal Health Services CEO

2022 total compensation: $10,919,976
CEO to median worker pay ratio: 221:1

4. Tim Hingtgen, Community Health Systems CEO

2022 total compensation: $6,302,542

CEO to median worker pay ratio: 97:1

1. William Rutherford, HCA Healthcare CFO

2022 total compensation: $5,058,078

2. Kevin Hammons, Community Health Systems CFO

2022 total compensation: $4,191,086

Dan Cancelmi, Tenet Healthcare CFO

2022 total compensation: $3,608,084

Steve Filton, Universal Health Services CFO

2022 total compensation: $3,268,104

It should be noted that a portion of executive pay is connected to the economic performance of their hospital(s). and is represented by stock shares, and pension plans

The executive pay scale compared with other large enterprise corporations does not seem excessive.  However, in a world of healthcare disparity, the ratio of executive pay scales (CEO to MEDIAN WORKER ) ranges from 254:1 (HIGHEST) to  97.1 (LOWEST).

Healthcare incomes are in line with the huge disparity of income in our overall society where the middle class is fast disappearing. Some 'ordinary' hospital workers live at or near the poverty line.  Some fast food workers earn more than a nurse's aide. 

The bottom line for hospital employees in Califonia is the State mandated following,

In 2016, California passed a law to raise the minimum wage to $15.00 per hour statewide by 2022 for large businesses with 26 or more employees, and by 2023 for small businesses with 25 or fewer employees

The Healthcare Worker Minimum Wage Ordinance will become effective on September 26, 2022. The Ordinance creates a healthcare worker minimum wage of $25.00 per hour for covered employees.

California is offering a 1 billion dollar bonus for eligible health workers for workers impacted by the COVID pandemic 

How many of those workers receive stock shares, or retirement plans?

All in all it is a very sad state of affairs and nothing that any hospital chain should be proud.

Transparency makes little difference since these statistics are easily obtained.  Non-profit executives fare no differently from their counterparts in the for-profit sector.

Here's what for-profit health system CEOs, CFOs made in 2022