Inside the retention gap: Why investing in physicians pays for itself

At the 2025 MGMA Leaders Conference in Orlando, Helen Falkner, regional vice president of recruiting and partner at Jackson Physician Search, discussed why retention isn’t just a morale issue — it’s a financial imperative.

“Turnover is incredibly costly,” Falkner says. “Not just the lost revenue that provider opening creates, but the amount of resources — both time and money — that go into recruiting a physician.”

She notes that the cost to recruit a single physician averages $250,000, factoring in interviews, bonuses, relocation, and staff time. “So while it may seem like things such as mentorship programs or making time for your physicians to share feedback are costly, you will see the ROI on those activities,” Falkner explains.

“Many studies have shown a key correlation between mentorship, satisfaction, and retention,” she says. “While it may seem like a big upfront investment, you’ll see it pay out in dividends — and most importantly, you’ll have happy physicians. Happy physicians provide good patient care, and they stay.”