Are rising veterinary salaries driving up the cost of care?

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1 3/28/2018 re rig veteriary alarie drig p the t f are? Pblhed dv360. He > re rig veteriary alarie drig p the t f are? re rig veteriary alarie drig p the t f are? The e tea deided t fid t ad dvered that ea alarie are atally drppig. the awer t that qeti? N, they are t. ar 19, 2018 By Fred Oedrag, Ph, ihael ik, Ph 360 GZIN If y ve ever wdered if veteriary hpital have t harge ever-higher prie fr ervie i rder t keep payig their dtr, y re t ale. We wdered the ae thig. The ber f pet i the U.. tie t ireae while vit t the veteriaria are dw, ad tatt fr the Brea f Labr hw that veteriary prie have bee rig fater tha iflati fr the lat tw deade. Bt what atally aig the prie t re? T fid t, we exaied the ptetial ipat f ltiple fatr, ildig the degraph f tday veteriaria, veteriary ie tred ad pratie werhip. a tartig pit t r aaly, we exaied tw deade wrth f veteriary peati data ad fd that while ea veteriary peati ha bee rig, whe iflati ated fr, veteriary peati ha atally bee drppig. peifially, we fd that the real ea ie f U.. veteriaria ireaed betwee 2000 ad 2006 at a aal rate f 3 peet, bt after that it fell dratially fr $130,864 i 2006 t apprxiately $112,000 i 2016 (Figre 1). ya f the U.. veteriary pplati i i Oe rea fr th ay be that yger veteriaria are eterig the prfei fater tha re experieed veteriaria are retirig. ie ewer veteriaria tart t with a average alary belw $80,000 ad are replaig veteriaria wh 1/7

2 3/28/2018 re rig veteriary alarie drig p the t f are? ally ear re tha $130,000, we ee lwer ie average ar the prfei. I additi, the geder prfile fr U.. veteriaria hagig (Figre 2). I 2006, the ea age fr e fell ewhere betwee 41 ad 65. By 2016, th ber had hifted draatially, with the ajrity f ale veteriaria abve 56 year f age. Fr we, the age dtribti ha ved i the ppite direti ad the peetage f ew veteriaria wh are feale tie t grw. Beae we ea ie ha htrially bee le tha their ale terpart, the ireaig prti f we al pt dwward prere ea ie fr the prfei. i i Chage i age dtribti ad ie tred I all prfe, a pite relathip ext betwee age ad earig, i that ie ireae rapidly with age til a per abt 45 t 50 year ld. Ie the lw ad evetally delie. The reltig age-earig prfile lk like a erted U-hape. Uig year f gradati a a prxy fr age, Figre 3 hw the ipat f geeratial differee the ea ie f the etire veteriary prfei. I 2000, r reeah hw, the ajrity f veteriaria were part f the ilet geerati r were baby ber, with the frer havig the highet ea ie. t that tie, the ea ie fr the etire prfei wa ard $120,000. Hwever, i 2006, the ilet bega t retire ad their ea ie fell, while the ber beae the larget grp ad reprted the highet ea ie. deade 2/7

3 3/28/2018 re rig veteriary alarie drig p the t f are? later, i 2017, with the ilet tly retired, the ber are w the e retirig at a high rate ad the Geerati X grp ha reahed it peak earig ptetial. Ufrtately, Geerati X repreet a all prti f the ttal pplati, ad the lwer-earig illeial are the larget grp. Hee, the verall ea ie ha falle belw $120,000. i 3/7

4 3/28/2018 re rig veteriary alarie drig p the t f are? 4/7

5 3/28/2018 re rig veteriary alarie drig p the t f are? The age-earig prfile tie t be haped like a erted U-hape, exept it rretly thi at the tp ad brad at the btt. lk at ew grad rdig t the iati f eria eteriary edial Cllege (C), abt 3,550 ew gradate etered the veteriary prfei eah year fr 2014 t That ber will ireae lightly a a ttal f 3,838 ew veteriaria are predited t gradate i 2019 fr C-eber titt. eawhile, a etiated 1,000 t 1,800 veteriaria retired fr the veteriary prfei eah year drig the ae perid. With re tha 3,500 yg veteriaria eterig the prfei eah year ad ly abt 1,500 retirig, there a pibility that the ea idtry ie will tie t delie a the ber f ew gradate tpae the ber f retiree. Lkig ahead, the rate f retireet betwee 2020 ad 2030 prjeted t ireae t re tha 2,500 veteriaria eah year, helpig t le the gap betwee the ber f gradate ad retiree. Chage i werhip ther fatr t ider pratie werhip. Pat tdie have fd a trg pite relathip betwee pratie werhip ad prfeial ie (Figre 4). tatt idiate that the likelihd f pratie werhip ireae with the ber f year ie gradati. re tha 70 peet f veteriaria wh gradated betwee 1970 ad 1979 are rretly pratie wer. Cpare that t veteriaria wh gradated betwee 2010 ad 2015 ad the ttal drp t 6 peet (Figre 5). 5/7

6 3/28/2018 re rig veteriary alarie drig p the t f are? i i i i ve re iprtat that ew gradate are waitig lger t phae a pratie. If the prprti f aiate veteriaria i the prfei ireae ad the prprti f pratie wer delie, verall ea ie will t likely al g dw. The btt lie ltiple fatr tribte t real ea ie fr veteriaria, ildig hagig degraph, a prfei with fewer pratie wer, ad htrial ie tred. We w dertad that whe we at fr iflati, veteriary ie have atally bee deliig fr tw deade. With veteriary prie rig fater tha 6/7

7 3/28/2018 re rig veteriary alarie drig p the t f are? iflati i that ae perid, it ee lear that veteriary labr t the e f the rig t f are fr the prfei. Fr that, we ll have t keep lkig. Frederi Oedrag, Ph, a aalyt with the eteriary i. ihael ik, Ph, diretr f the di UB. ll right reerved. Reprdti i whle r i part prhibited. Pleae ed ay tehial et r qet t r webater. e URL: 7/7

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