Over 60% Considering Wage Increases Due to Medical Fee Revision, But Only 30% Raising Nurses’ Base Pay – Mynavi News

News Highlights

Following the fiscal year 2024 medical fee revision, it has been revealed that while over 60% of medical institutions are considering wage increases, only 30% have actually implemented an increase in nurses’ base pay. This suggests that while there is a move to allocate the additional revenue from the revision to personnel costs, the reflection in base pay remains limited. This situation highlights challenges in the management strategies and business succession of medical institutions.

Perspective from M&A Medical Editorial Department

While the medical fee revision was expected to be a tailwind for wage increases, the reality that only 30% are directly reflecting it in base pay speaks to the harshness of medical institution management. It is possible that the additional revenue from the revision is being allocated to bonuses or allowances, or to investments in facilities and ICT. Particularly, with the nursing shortage becoming more severe, increasing base pay is directly linked to recruitment and retention. Therefore, this figure of “just 30%” may indicate insufficient preparation for future personnel cost inflation or a situation where other management challenges must be prioritized. The necessity of medium- to long-term management and succession strategies, considering the medical fee revision cycle—such as scaling up through M&A, reducing costs through operational efficiency, or utilizing tax benefits by transitioning to specific medical corporations—is becoming even more pronounced.

Points Raised by This News

• The reality that the additional revenue from the medical fee revision is not easily reflected directly in nurses’ base pay.
• The situation of medical institutions that must prioritize addressing management issues other than personnel costs.
• The potential impact on recruitment and retention due to the limited increase in nurses’ base pay.
• The importance of the medical fee revision cycle in medium- to long-term management and succession strategies.

Practical Questions Arising from This News

• What are the merits and demerits of allocating the increased revenue from the medical fee revision to bonuses and allowances rather than base pay?
• If nurses’ base pay is not increased, what other measures can be considered for recruitment and retention?
• How do the impacts of medical fee revisions and personnel cost challenges change when scaling up through M&A?

If You Feel “Should I Consult Too?”

Medical institution managers who expect increased revenue from the medical fee revision but have not yet increased nurses’ base pay, or are busy addressing other management issues, may find it is time to review their management and succession strategies. It is recommended to seek expert advice on considering medium- to long-term options such as scaling up through M&A, improving operational efficiency, or utilizing tax benefits, and preparing for future risks.

M&A Medical (CentralMedience Inc.) supports the business succession of medical corporations, hospitals, and clinics with a complete success-fee basis as an M&A support institution certified by the Small and Medium Enterprise Agency. Consultations are accepted with strict confidentiality. Free consultations are available here.