Yet Another CMS Pay Cut in 2025 ... Are Physicians Being Pushed Out?

It is inconceivable that the administration can consider lowering physicians' pay again amidst high inflation and increased wage costs. CMS has proposed a 2.8% reduction in the 2025 physician fee schedule, sparking significant concern among spine surgeons about the detrimental impact on healthcare. With Medicare payments already having decreased by 22% from 2001 to 2021 (adjusted for inflation), further cuts threaten to exacerbate wait times and precipitate a healthcare crisis for seniors.

Surgeons argue that these reductions make private practice financially unsustainable, pushing physicians out and reducing patient access to care. From 2020 to 2025, the conversion factor is set to drop by 10.33%, significantly impacting reimbursement rates. This trend could lead to more physicians finding it economically unfeasible to see Medicare patients, further limiting access for beneficiaries.

Annual CMS reductions amid high inflation are worsening the physician shortage and driving doctors into hospital employment. Economic pressures have led to reduced revenues and pay cuts in hospital systems, further straining healthcare delivery. More physicians may opt out of Medicare, exacerbating the issue.

A systematic approach is needed to reward high-value surgeries and reduce unnecessary procedures. Collaboration with the AMA and public advocacy is crucial to ensure fair compensation. Collective bargaining is essential for physicians to have a meaningful voice. IUS Surgeons advocate for increased payment rates to meet growing demands and maintain quality patient care.

Author:

Morgan Lorio