Executive Compensation at Trinity Health (2020)
Trinity Health is a tax-exempt non-profit Catholic healthcare system that employee more than 123,000 in 88 hospitals and more than 135 continuing healthcare locations (i.e. senior living, hospice, home care, etc) in 26 states. Based in Livonia, Michigan, Trinity Health includes hundreds of related and affiliated organizations. This post reports the executive compensation at Trinity Health Corporation (THC), which overseas the entire healthcare system.
Governed by 14 directors (13 of whom are independent), THC has a board made up of 6 women and 8 men.
In 2020, THC reported total revenue of $2 billion, most of which came from “subsidiary fees” which is what the related/affiliated organizations pay to THC to manage the entire healthcare system.
Expenses totaled $2 billion (not including $144 million in depreciation) with the largest expenses reported to be compensation ($738 million), office-related and equipment maintenance expenses ($723 million), interest ($233 million), and fees for services ($251 million) which include miscellaneous purchased services (no detail provided), consulting, billing, contract labor, etc.
6,780 employees received $738 million in compensation, which equates to an average compensation of $109,000. However, only 1,694 employees received more than $100,000 in compensation with the 27 most highly compensated reported to be:
- $2,965,730: Michael Slubowski, President and Chief Operating Officer
- $1,952,205: Richard Gilfillan, Former Officer
- $1,806,239: Benjamin Carter, Treasurer, EVP, CFO (thru 12/19), COO (beg 1/20)
- $1,746,974: Sally Jeffcoat, EVP, Growth, Strategy, and Innovation (thru 12/19)
- $1,683,820: Reginald Eadie, President and CEO, TH of New England
- $1,647,963: Robert Casalou, President and CEO, Michigan Region
- $1,462,062: Daniel Roth, EVP, Chief Clinical Officer
- $1,377,411 : Linda Ross, Secy, EVP, Chief Legal Officer
- $1,377,183: John Rodis, President, St Francis Hospital (thru 5/20)
- $1,314,839: Marcus Shipley, SVP, Chief Information Officer
- $1,285,611: James Reed, President/CEO St Peter’s Health Partners
- $1,265,035 : Cynthia Fry, Former Key Employee, SVP Rev Excellence
- $1,201,404: Cynthia Clemence, Treasurer, Interim CFO at 1/20; SVP, OPS CFO
- $1,162,846 : Michael Hemsley, Asst Secy, Deputy General Counsel (thru 7/19)
- $1,146,213: Edmund Hodge, EVP, Chief HR Officer
- $1,115,654 : Louis Fierens II, EVP, Administrative Services
- $1,079,932: John Capasso, EVP, Continuing Care
- $ 823,228: Michael Holper, Former Key Employee, SVP, Int/Audit SERVICES
- $ 809,795 : Paul Harkaway, Former Key Employee, Chief Acct Care Dev Officer
- $ 777,352: Barbara Walters, Former Key Employee
- $ 696,717: Antoinette Pratt, Asst Treasurer at 1/20 SVP Financial Reporting
- $ 668,625: Paul Neumann, Secy, EVP, Chief Legal Officer (through 8/18)
- $ 570,951: Philip Boyle, Former Key Employee, SVP, Mission
- $ 471,253: Nora Triola, Former Key Employee
- $ 356,433: Joshua Moore, Asst Secy, VP Managing Counsel
- $ 331,715: Mark Fromison, Former Key Employee
- $ 219,840 : Paul Conlon, Former Key Employee
The 27 most highly compensated employees received $32 million but what is interesting to note is that so many of the most highly compensated employees are former key employees.
The most highly compensated employee was Michael Slubowski, the President and CEO who received nearly $3 million in compensation in 2020.
20 of the 27 (74%) most highly compensated employees are male while 7 (26% are female).
THC provided companion travel. To read specifics about these benefits, severance compensation, and the supplemental executive retirement plan, see the Form 990, Schedule J, Part III, Supplemental Information.
503 independent contractors received more than $100,000 in compensation. The 5 most highly compensated were reported to be:
- $46 million: Leidos, of Reston, VA for IT consulting
- $43 million: EPIC Systems Corp, of Milwaukee, WI for software services
- $34 milion: Cerner Corp, of Kansas City, MO for software services
- $29 million: Strategic Staffing, of Detroit, MI for temporary staffing
- $26 million: Huron Consulting Services, of Chicago, IL for consulting services
Based on the above information, THC appears to have a lot of turnover and utilize independent contractors to fill administrative functions.
To read the IRS Form 990 (2019 for the year ending June 30, 2020), click here.