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For Successor Physicians

70%: The Real Reason Ophthalmologists Don't Negotiate

Verdira Team

Verdira Team

70%: The Real Reason Ophthalmologists Don't Negotiate

Most ophthalmologists sit down for their last contract negotiation, hear a number, push back a little, and leave with something close to what they were originally offered. According to Medscape's 2026 Ophthalmologist Compensation Report, about 7 in 10 ophthalmologists didn't get more than "moderately" aggressive the last time they negotiated their pay. Physicians generally aren't far behind, at 63%.

The easy explanation is that doctors make weak negotiators. Medical training rewards collaboration over confrontation, and pushing hard for your own number can feel like the wrong instinct after a decade spent putting patients first. That explanation is comfortable, and it leaves out the bigger driver. A large and growing share of employers have turned negotiation into a closed question, and they did it on purpose.

What Consultants Actually Tell Employers

Chad Stutelberg is the national managing director of healthcare compensation and rewards at Arthur J. Gallagher & Co, and his job is advising hospitals and large groups on how to structure physician pay. In Medscape's report, he describes exactly how that advice has hardened over time. His guidance to employers now is direct: build one standard compensation philosophy, apply it evenly, and when a physician asks to negotiate, the answer is simply "we don't negotiate."

The logic is defensive. It protects an employer's payroll structure from a single counteroffer that could unravel consistency across every other physician under the same policy. Letting one doctor's negotiating skill set their number creates a problem the moment word travels, and word always travels. Stutelberg puts it plainly: other physicians find out what a colleague negotiated within minutes, and once that happens, everyone wants the same deal. A single standard philosophy removes that exposure completely. It's tidy, it's defensible in front of a board, and it scales cleanly across a hundred employed physicians instead of a hundred separate conversations.

That's also, in practical terms, why your last negotiation probably didn't move much no matter how well you made your case. You weren't up against a person weighing your argument on its merits. You were up against a policy built to be immovable, by design, before you ever sat down.

Where This Policy Came From

Stutelberg's advice isn't happening in a vacuum. It tracks a decade-long shift in who actually employs physicians. In 2012, roughly 60% of physicians owned their own practice. By 2022, that share had fallen below 47%, and just under half of all US physicians had become employees inside someone else's organization. Alongside that shift, an estimated 41% of physician practices nationally are now owned by a hospital, health system, or corporate and private equity entity.

Stutelberg connects the dots himself. The hospitals he works with used to negotiate physician pay one doctor at a time, and that stopped once they became part of bigger organizations. Scale is the mechanism. A standard compensation philosophy only becomes worth building once an employer has enough physicians under one roof that consistency starts to matter more than any single relationship, and that threshold keeps getting crossed as consolidation continues. The bigger the employer, the more physicians sit under the same fixed structure, and the less room any one of them has left to move it.

In practice, these standard structures tend to share a few features regardless of employer. Pay bands get set by specialty and tenure rather than by individual negotiation. Signing bonuses, where they exist at all, follow a fixed schedule instead of a case by case ask. Review cycles happen on a timeline the employer sets, not one the physician requests. None of that reflects a judgment on any individual doctor's worth. It's simply what a policy looks like once it's built to apply evenly across everyone it covers, and evenness is exactly the point.

How Ophthalmology Compares

Ophthalmology sits near the front of the pack on this measure. Dermatologists reported a similar pattern at 67%, urologists at 55%, and oncologists at 69%, while physicians generally landed at 63%. Ophthalmology's 70% sits at the high end of that range, among the specialties where a standard compensation philosophy has taken hold hardest.

That pattern tracks with how consolidated a specialty's employer base has become, more than it reflects any specialty's particular negotiating culture. The specialties with the least room to negotiate tend to be the ones where hospital and corporate employment has grown fastest. Ophthalmology remains one of the more independent fields left in medicine. It's still seen enough consolidation on the employed side to land near the top of this list, and that says something about how far the shift has traveled even into a specialty with a large independent base still intact.

The One Voice Pushing Back

Not everyone quoted in the report treats this as permanent. A Florida surgeon offered a different read, arguing that as the population ages and the pipeline of new physician specialists fails to keep pace with demand, doctors may eventually regain real leverage at the negotiating table. Fewer specialists relative to demand is, in theory, exactly the kind of scarcity that shifts pricing power back toward the person doing the work.

That's a fair, forward-looking bet, and the demographic pressure behind it is real. But it's a bet on a labor market shifting in physicians' favor over years, not something to plan a contract cycle around next spring. It also assumes the same basic structure stays in place, just with slightly friendlier terms once supply tightens enough to matter. It doesn't change who sets the philosophy. It just hopes the philosophy eventually gets kinder, and hope isn't a compensation strategy.

What Changes When You're the One Setting It

Here's the distinction worth sitting with. A standard compensation philosophy only functions as a wall if you're standing on the employee side of it. The entire "we don't negotiate" approach exists to protect an employer's payroll structure from an individual counteroffer. It has nothing to say about what happens once there's no employer standing between you and the revenue your own work generates.

Ownership removes the negotiation entirely. There's no policy left to negotiate against once you're the one who owns the practice, and no board upstream setting the philosophy you're subject to. The real difference comes down to which conversation you're actually having in the first place, and which side of the table you're sitting on when it happens.

This also keeps spreading. In this year's report, 35% of all physicians said quantifiable metrics like RVUs now shape their base pay directly, not layered on as a bonus but built into the number itself. The formula is starting to replace the idea of a negotiable number altogether, which makes the timing of this decision matter more with each year an employed physician waits.

The 70% figure describes something structural: how consolidated the employer side of the industry has become, and how deliberately that side has closed ranks around one uniform answer. Once you read the number that way, the fix stops looking like better negotiation training. It starts looking like a different position at the table altogether.

That raises the next question worth asking honestly. If negotiation barely moves the needle for most ophthalmologists today, what does the actual average compensation number look like, and who ends up above it?

Educational material only. Figures are illustrative and individual results vary. Statistics are drawn from the Medscape 2026 Ophthalmologist Compensation Report and cited third-party sources. See our Disclosures.

Written by

Verdira Team

Verdira is building a permanent home for ophthalmology practices. We write about succession, physician ownership, and the forces reshaping eye care in the United States.

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The content of this site is for general informational purposes only and is not intended to constitute an offer to sell or a solicitation to buy any security or other asset, or a promise to undertake or solicit business, and may not be relied upon in connection with any offer or sale of securities or other assets.

The content of this site is for general informational purposes only and is not intended to constitute an offer to sell or a solicitation to buy any security or other asset, or a promise to undertake or solicit business, and may not be relied upon in connection with any offer or sale of securities or other assets.

The content of this site is for general informational purposes only and is not intended to constitute an offer to sell or a solicitation to buy any security or other asset, or a promise to undertake or solicit business, and may not be relied upon in connection with any offer or sale of securities or other assets.

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