This analysis looks at the total compensation for the CEO and other executives of Kaiser Permanente. Kaiser operates as a nonprofit but pays executives much more than other major nonprofit leaders. In recent years, Kaiser has raised total CEO compensation to $16 million, a startling 166% increase since 2015 and double the salary of Blue Cross Blue Shield’s CEO. The increases through 2017, the last year available, come at a time when Kaiser has taken a hard line with its employees about pay, health benefits, and job security.
Data was drawn from publicly available IRS Form 990 and SEC filings.
At Kaiser Permanente, 36 Executives Make over $1 Million
Number of executives making over $1 million at major nonprofits
CEO Compensation Balloons to over $16 Million
Total compensation by year, hour, day, week
CEO Salary Far Exceeds Comparable Nonprofit and Health Leaders
Kaiser CEO’s total compensation, compared to leading nonprofit organizations (CEO or comparable principal officer)
How much more, as a percentage, Kaiser’s CEO is paid than other leading nonprofit organizations (CEO or comparable principal officer)
CEO Salary Would Pay for Hundreds of Medical Employees to Help Patients
Compensation compared to LVNs, technicians, and assistants
At a time when Kaiser is taking a hard line with employees about pay, health benefits, and job security, it is paying their CEO enough to hire 200+ nurses, medical assistants, and/or technicians.
CEO compensation would be enough to serve thousands of low-income patients
- St. John’s Well Child and Family Center operates 12 community health centers in and around LA. Kaiser’s current (2017) CEO compensation would have paid for St. John’s total purchased services, professional fees, and medical supplies in 2016. St John’s serves more than 80,000 unique patients annually, representing over 300,000 patient visits. [1]
- Via Care Community Health Center operates 6 clinics in LA. Kaiser pays its CEO more than twice Via Care’s total annual expenses. [2]
- John Wesley Community Health (JWCH) Institute operates more than 15 clinics in Los Angeles County. Kaiser’s CEO compensation is about twice what JWCH spent on professional services and medical and laboratory supplies for all clinics in 2017. JWCH serves more than 30,000 patients annually. [3]
Kaiser Permanente is a nonprofit that has emphasized its positive role in healthcare and in the communities it serves. Kaiser’s workers share these goals, but it is troubling that the current corporate culture at Kaiser is more like a for-profit corporation, and the exorbitant executive salaries are just one example of how Kaiser has lost its way.
[1] St. John’s Well Child and Family Center’s 2016 financial statements and 2016 and 2017 annual reports
[2] Via Care Community Health Center’s 2017 financial statements
[3] Just under twice as much; JWCH spent $16.7 million on these categories in 2017, see JWCH’s 2017 financial statements and website.
