8 Ways Recruitment Services Help Medical Groups Grow

by Brendon Chiriga | Aug 06, 2026 | psychiatrist recruiter, Psychiatry recruitment, Psychiatry shortages
8 Ways Recruitment Services Help Medical Groups Grow

Physician Recruitment Services for Medical Groups: Where the Value Shows Up

Key Takeaways

  • The median physician search took 118 days to fill in 2024, compared with 77 days for advanced practice providers, according to the Association for Advancing Physician and Provider Recruitment’s 2025 benchmarking report. Oncology searches ran a median of 332 days.
  • Replacing a physician often costs a practice two to three times that physician’s annual salary, according to the American Medical Association, which cites research published in JAMA Internal Medicine.
  • Physician credentialing and privileging may take up to 180 days, according to the American Medical Association, which places most of the delay after the offer is signed rather than before it.
  • Physicians accepted 71% of the offers extended to them in 2024, down from 83% in 2023, per AAPPR’s 2025 benchmarking report.
  • Physicians aged 65 or older make up 20% of the clinical physician workforce and those aged 55 to 64 make up another 22%, according to the AAMC, which projects a shortage of up to 86,000 physicians by 2036.

Physician recruitment services have become a structural line item for mid-size medical groups, and the reason is arithmetic. A group of eight to forty physicians carries roughly the same vacancy exposure per open role as a large health system, without the in-house recruitment function a system uses to absorb it. That gap is what sends a growing share of these organizations to an external healthcare recruitment firm rather than to another internal hire.

The exposure is measurable. According to the Association for Advancing Physician and Provider Recruitment’s 2025 benchmarking report, the median time-to-fill for a physician search reached 118 days, and physicians accepted only 71% of offers extended in 2024, down from 83% the year before.

working with a locum tenens recruiter

Why Do Mid-Size Medical Groups Struggle to Fill Physician Roles?

Mid-size medical groups struggle to fill physician roles because they carry health-system vacancy exposure on practice-scale recruitment infrastructure. A twenty-physician group loses comparable revenue per open position to a thousand-physician system, but operates without a dedicated sourcing team, a current compensation database, or a credentialing coordinator to compress the gap.

The scale difference is visible in AAPPR’s data. The typical organization in its 2025 benchmarking report conducted 96 physician and provider searches during 2024, a volume that supports a standing recruitment department. A medical group running four searches a year cannot justify that headcount, so the work falls to a practice administrator or a managing partner already carrying a clinical load.

Measurement suffers first. AAPPR’s 2026 retention strategy report found that 78% of surveyed organizations track turnover rates, but only 41% track days-to-fill and just 22% track cost-per-hire. A group that does not measure its own hiring cycle has no way to tell whether an eight-month search is normal or a problem.

How Long Does It Take to Fill a Physician Position?

The median physician search took 118 days to fill in 2024, according to AAPPR’s 2025 Physician and Provider Recruitment Benchmarking Report, which drew on more than 15,000 searches across nearly 130 health organizations. Advanced practice provider searches ran a median of 77 days. Specialty searches run considerably longer, with oncology posting a median of 332 days.

Those medians describe organizations with in-house recruitment teams. A medical group running searches on top of clinical operations starts from a slower baseline, and the delay compounds. Every additional month of vacancy removes billable encounters, delays procedures, and diverts downstream referrals that rarely come back once a community physician has redirected them.

Speed on its own is worth little. A search closed in six weeks that produces a departure at month nine has cost the group two searches instead of one. Recruitment services that optimize time-to-fill without screening for fit convert a vacancy problem into a turnover problem.

What Does Physician Turnover Cost a Medical Group?

Replacing a physician often costs a practice two to three times that physician’s annual salary, according to the American Medical Association, which cites research published in JAMA Internal Medicine. The AMA separately estimates the organizational cost of physician burnout at $500,000 to more than $1 million per doctor. Median physician turnover stood at 7.3% in AAPPR’s 2025 report.

Burnout is the mechanism that connects a vacancy to the next one. The AMA’s Organizational Biopsy survey found that 41.9% of physicians reported at least one symptom of burnout in 2025, the third consecutive annual decline. Bobby Mukkamala, MD, president of the AMA, said of the 2025 results: “2025 marked another year of progress in reducing overall physician burnout levels. This reflects broad gains in engagement, well-being, and perceived support across organizations.”

Progress at the national level does not protect a specific group. When one physician in a six-physician practice leaves, the remaining five absorb the panel, and the probability that a second departure follows rises. Retention screening is the cheapest intervention available, and it happens before the offer rather than after it.

 

healthcare recruitment partnerships

How Does Locum Tenens Coverage Protect Patient Access?

Locum tenens coverage protects patient access by keeping schedules open while a permanent search runs. A credentialed locum physician can begin seeing patients well before a permanent replacement clears credentialing, which prevents the closed panels, extended wait times, and referral leakage that follow an unplanned departure.

Coverage also protects the physicians who stayed. Redistributing a departed colleague’s panel across a small group is the most reliable way to produce a second resignation, and locum support interrupts that sequence.

Quality concerns about temporary coverage have been studied directly. A 2017 JAMA analysis by Blumenthal and colleagues examined 1,818,873 Medicare admissions treated by general internists and found no significant difference in 30-day mortality between patients treated by locum tenens physicians and those treated by non-locum physicians.

 

Dimension Locum Tenens Coverage Permanent Placement
Problem it solves Keeps clinical capacity intact during an unplanned or planned gap Rebuilds the panel and the long-term patient relationship
Continuity of care Bridges a defined period; patient relationships transfer to the permanent hire Establishes continuity that supports panel growth and referral patterns
Effect on remaining physicians Distributes the departed physician’s load rather than absorbing it internally Restores baseline workload once the new physician reaches full capacity
Credentialing burden Handled per assignment, often expedited by the staffing partner Full medical staff credentialing and payer enrollment before the first visit
Where it fits Immediate coverage while a permanent search runs its full cycle The core staffing plan, sized to projected demand and retirements

Where Specialty Sourcing Reaches Candidates That Job Ads Miss

Physician recruitment services with specialty depth work the passive market, which is the only market that exists in several specialties. Gastroenterology, psychiatry, neurology, and a number of surgical subspecialties produce very few actively searching candidates in any given quarter, and a job posting reaches none of the physicians who are not looking.

The offer data shows what happens when sourcing is thin. AAPPR’s 2025 benchmarking report recorded physician offer acceptance at 71% in 2024, down twelve points from 83% in 2023. A group presenting offers to a small pool of active applicants absorbs that decline directly, because a declined offer restarts a search that already ran four months.

For employers, the practical difference between a sourcing partner and an advertising vendor is whether the firm can name specific candidates in the specialty before the search opens. For candidates, the same relationship is what surfaces roles that never reach a job board.

physician credentialing timeline

How Long Does Physician Credentialing Take?

Physician credentialing and privileging may take up to 180 days, according to the American Medical Association. That window sits after the contract is signed, which means a signed candidate is not a working candidate, and a group counting revenue from a signature date is counting it too early.

The AMA advises starting the process well ahead of a transition. Tammy Weaver, the AMA’s vice president of physician professional data, has said “it is never too early” to compile credentialing information.

Full-service recruitment firms absorb the administrative sequence rather than handing it back to the practice. Where that support typically matters:

  • Primary source verification: The firm collects and verifies education, training, licensure, and board certification documents before the medical staff office requests them.
  • Licensure tracking: State medical board timelines vary widely, and a partner tracking them can sequence the application to the projected start date instead of reacting to it.
  • Payer enrollment: Commercial and government payer enrollment runs on its own clock, and a physician credentialed by the hospital but not enrolled with payers still cannot generate collectible revenue.
  • Medical staff coordination: Someone has to chase committee calendars and privileging paperwork, and a practice administrator is rarely the fastest person to do it.

What Market Data Should Shape a Physician Offer?

A competitive physician offer is built from current specialty and geography-specific survey data, not from the group’s last hire. Compensation surveys published by MGMA and similar organizations report by specialty, percentile, and region, and an offer constructed without that reference point is either uncompetitive or overpriced, with no way to tell which.

Compensation is no longer the only variable being compared. Call burden, schedule structure, administrative load, and practice culture now sit alongside salary in a candidate’s decision, and an offer that leads on salary while ignoring the rest loses to a lower-paying opportunity that matches a candidate’s priorities more closely.

The twelve-point drop in physician offer acceptance AAPPR recorded between 2023 and 2024 is the clearest available signal that offers are being benchmarked against more alternatives than before. Recruitment services working across multiple markets see the offers a single group never does, including the ones that were declined.

Multi-Site Coordination and Succession Planning

Groups running several locations manage several distinct labor markets at once. Compensation expectations, candidate supply, and competitive intensity differ between an urban site and a suburban one thirty miles away, and a single sourcing approach applied across both will underperform in at least one.

Succession is the more predictable pressure. Physicians aged 65 or older make up 20% of the clinical physician workforce and physicians aged 55 to 64 make up another 22%, according to the AAMC’s report The Complexities of Physician Supply and Demand: Projections From 2021 to 2036, published in March 2024. The same report projects a shortage of up to 86,000 physicians by 2036.

For a group with two senior partners in the same specialty, that demographic is a scheduling fact rather than a forecast. Pipeline development ahead of a stated retirement date converts a 118-day median search into a conversation with a candidate the firm has already met.

What Should a Medical Group Ask a Recruitment Partner?

The questions that separate a recruitment partner from a résumé forwarder are the ones that require the firm to produce its own data. A firm that tracks outcomes can answer them from a report; a firm that does not will answer them with adjectives.

Questions worth asking before signing an agreement:

  • First-year retention rate: Ask for the percentage of permanent placements still in the role at twelve months, and the sample size behind it.
  • Time-to-fill by specialty and market: A national average is not useful; the relevant number is the firm’s median for the specific specialty in the specific region.
  • Passive sourcing method: Ask how the firm reaches physicians who are not applying, and what the firm did last quarter that a job board could not.
  • Coverage model: Ask whether the firm handles both locum tenens and permanent placement, because a group managing both through one relationship avoids duplicating credentialing work.
  • Credentialing scope: Ask exactly which steps the firm performs and which remain with the practice.

AAPPR’s 2026 data suggests many organizations cannot answer these questions about themselves. Only 39% of the 158 organizations surveyed had a formal, documented retention strategy, and 16% had nothing in place at all.

Frequently Asked Questions

Should a Medical Group Hire an In-House Recruiter or Use an External Partner?

The comparison is between a fixed salary and a variable fee. Median compensation for in-house recruitment professionals rose 10.4% in 2025 to $100,420, according to AAPPR’s 2026 recruitment team compensation benchmarking report, which surveyed 428 internal recruitment professionals. A group running four searches a year rarely reaches the volume that justifies that fixed cost, while a group running twenty may.

What Recruitment Metrics Should a Medical Group Track?

Turnover rate, days-to-fill, and cost-per-hire are the three that predict whether a hiring process is working. AAPPR’s 2026 retention strategy report found that 78% of organizations track turnover, 41% track days-to-fill, 22% track cost-per-hire, and 8% track internal promotion rates. The gap between the first metric and the last three is where most diagnostic ability is lost.

Does Locum Tenens Coverage Affect Quality of Care?

The largest published analysis found no significant difference. The 2017 JAMA study by Blumenthal and colleagues reported 30-day mortality of 8.83% for patients treated by locum tenens internists against 8.70% for patients treated by non-locum internists, an adjusted difference of 0.14% that was not statistically significant. The study covered 38,475 admissions with locum tenens care out of 1,818,873 total.

How Many Physician Searches Does a Typical Recruitment Team Run in a Year?

The typical organization in AAPPR’s 2025 benchmarking report conducted 96 physician and provider searches in 2024. That report collected data on more than 15,000 searches from nearly 130 health organizations, of which 61% were physician searches. Most mid-size medical groups run a small fraction of that volume, which is the structural reason their internal hiring cycles run longer.

How Are Physician Recruitment Fees Structured?

Physician recruitment agreements generally follow either a contingency model, where the fee is owed only on a completed placement, or a retained model, where a portion is paid at engagement. Retained searches typically apply to leadership roles and hard-to-fill subspecialties where the firm commits dedicated capacity. [MARC: which models does MASC offer, and should this name them?

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