In the Interim | Rural Provider Pay Still Lags, AI Reducing Burnout, How Locum Provider Can Reduce Their Taxes & More

“In the Interim” is a snapshot of the latest and most relevant news in the locum tenens industry. No repeats, less scrolling, more knowledge. Check out the articles we found most interesting this month.  

1. Rural Provider Pay Still Trails Productivity Benchmarks

A recent Stroudwater Associates survey of 197 rural hospitals found that many are still using outdated compensation models, like straight salaries with no performance incentives. Roughly 44% of facilities reported using salary-only pay structures, despite increasing pressure to improve patient access and provider productivity. The report also noted widespread confusion over CMS fee schedules, with most hospitals not using the current-year version to calculate work RVUs, which can impact fair-market-value assessments.

For providers, compensation trends reflect growing pressure on rural systems. Median pay for family physicians with obstetric care rose to $343,000, while anesthesia professionals saw increases due to ongoing workforce shortages. APP pay remained inconsistent, with significant variation across roles and regions. Locum tenens and permanent providers alike should be aware of these gaps when evaluating offers or negotiating terms.

The report recommends clearer compensation structures, updated benchmarks, defined work expectations, and alignment with both productivity and fair-market-value standards. For physicians, understanding how compensation aligns (or doesn’t) with workload and market value is critical when considering rural opportunities, ensuring compensation reflects the value of your work.

(Medical Economics, November 13)

2. Ambient AI May Reduce Burnout and Documentation Time

A new study from Sutter Health found that ambient AI tools, such as the Abridge platform, reduced physicians’ documentation burden by improving efficiency and increasing satisfaction. Clinicians reported spending less time taking notes during visits and experiencing a reduced cognitive load. While results varied by gender and specialty, most respondents said the tool improved visit quality and suggested it should be made more widely available. 

These tools could help tackle systemic provider burnout. In 2023, 45% of physicians reported at least one symptom of burnout, according to the American Medical Association. Sutter’s researchers cited administrative overload, particularly documentation outside clinic hours, as a key contributor. By listening to patient consultations and generating notes for provider review, AI tools hope to streamline this process.

Sutter Health leadership said these technologies can help physicians stay present during patient encounters and reduce administrative strain. As adoption grows, clinicians may want to evaluate how AI tools are being integrated when weighing career options.

(Newsweek, November 6)

3. Over 1,800 Health Organizations Remove Barriers to Mental Health Care

As of September 2025, more than 1,850 health systems and 60 licensure boards have removed stigmatizing language and intrusive mental health questions from their credentialing and licensing processes. This shift allows over 2 million US health professionals to seek mental health care without fear of professional consequences. 

The updates are part of a national effort led by ALL IN: Wellbeing First for Healthcare, in partnership with the Dr. Lorna Breen Heroes’ Foundation and the American Medical Association. Physicians have historically avoided seeking care for mental health or substance use issues due to concerns about losing licenses or hospital privileges. The AMA continues to work with organizations to eliminate these barriers, offering institution-specific guidance on revising credentialing and licensing forms. 

Recognized organizations are named Wellbeing First Champions and encouraged to share changes with their teams. Over the past year, the number of champions grew by nearly 400% as the program expanded beyond hospitals to include a broader range of care facilities.

(American Medical Association, November 6)

4. New H-1B Visa Fee May Strain Rural Physician Supply, Study Finds

A new JAMA study warns that the federal government’s proposed $100,000 H-1B visa fee could impact access to care in rural and high-poverty communities. In 2024, just under 1% of the national physician workforce was sponsored through H-1B visas, with those clinicians representing 2% of providers in the most impoverished counties. In contrast, they made up less than 1% in the least impoverished areas. Rural counties also showed a higher reliance on H-1 B sponsorship, with less than 2% of their physician workforce sponsored through H-1B, compared to just 1% in urban areas.

Researchers noted the potential fee hike could limit access to care in already underserved regions. They pointed to recent disruptions in visa processing as examples of how quickly staffing gaps can grow. In 2024, 94% of H-1B applications were approved, with similar trends across dentists, APPs, and other healthcare professionals.

A coalition of medical associations is urging federal officials to exempt healthcare workers from the fee. But in the meantime, rural and underserved areas could face even greater provider shortages than before. 

(Fierce Healthcare, October 30)

5. Seven Ways 1099 Providers Can Lower Taxes and Keep More Income

Many locum tenens and 1099 physicians unintentionally overpay taxes by relying on general tax advice designed for W-2 employees. The Doctor’s CPA highlights seven common mistakes that can lead to unnecessary tax bills, including failing to plan for quarterly tax payments, missing the S-corp election, and mixing business with personal expenses. 

The guide also emphasizes the importance of using tax-advantaged accounts like HSAs, Solo 401(k)s, and defined benefit plans. For example, an anesthesiologist earning $400,000 who maxes out a Solo 401(k) and HSA could reduce taxable income by $75,000. Physicians working in multiple states also risk double taxation if they don’t file correctly in each jurisdiction.

Finally, underqualified tax advisors and overlooked deductions can drain income. Working with an experienced CPA can help identify overlooked opportunities, build year-round strategies, and ensure compliance.

(The Doctor’s CPA, October 30)

6. Physician Agency Offers a Path Forward in a Broken System

Christie Mulholland, MD, recently explored how rising corporatization has left many physicians feeling demoralized and disconnected from their purpose. Despite professional success in palliative care and medical leadership, she describes reaching a breaking point after years of navigating systems that prioritize productivity over patient-centered care. 

Between 2019 and 2023, over 127,000 physicians left private practice for corporate employment. In hospice care alone, 78% of programs are now for-profit, often leading to understaffed teams and gaps in care. Mulholland argues that dissatisfaction among clinicians is a response to systemic pressures that limit ethical, relationship-centered practice.

She outlines several options physicians are using to reclaim agency, including setting more precise boundaries, exploring locum tenens, organizing for reform, and pursuing intentional transitions. To have a sustainable career, clinicians must engage with medicine in ways that align with personal values.

(Kevin MD, November 14)

7. Hospitals and Academic Centers Lead in Physician Hiring Despite Financial Pressures

Between April 2024 and March 2025, hospitals and academic medical centers accounted for the largest share of medical professional job postings, according to a new report. Hospitals posted 481 roles, representing 34% of physician searches in the sample, up from 28% the year prior. Academic medical centers followed with 395 postings, or 28% of the total, compared to 22% in the previous cycle.

Medical groups made up 24% of postings, while urgent care, home health, and health maintenance organizations accounted for 10%. Federally qualified health centers, community clinics, and Indian Health Services facilities posted 3% of roles, and solo, partnership, and concierge practices posted just 1%.

Despite the increase in job postings from hospitals and academic centers, the report notes that financial pressures and economic uncertainty may slow hiring in the coming year. Some academic institutions have already implemented hiring freezes due to cuts in federal research funding, and more may come soon

(Becker’s Hospital Review, October 31)

8. AI Concierge Care May Disrupt Traditional Models, Says Health IT Leader

AI-driven concierge healthcare is emerging as a model that may significantly change primary care, according to Edward Marx, CEO of Marx Advisory. He suggests that AI tools will enable physicians to manage patient panels of up to 25,000, with AI handling routine interactions and doctors providing oversight. This shift could reduce administrative burdens, speed up diagnoses, and lower costs, while allowing clinicians to focus on complex cases.

Marx described using AI to monitor lab results and guide follow-up steps, which helped him avoid a delayed diagnosis. He believes that as AI tools become more accurate and accessible, providers can leverage them to streamline care without compromising safety.

However, Marx cautions that if doctors and health systems don’t adapt, third-party entrants could disrupt traditional care models. He recommends that practices adopt multi-modal care approaches to remain aligned with evolving patient expectations and support long-term efficiency in physician-led care.

(Healthcare IT News, November 7)

That’s it for this month’s edition of In the Interim! Stay tuned for next month’s roundup of newsworthy articles for locum tenens providers. To stay in the loop on future news, follow us on LinkedIn.