UPMC chief's bonus, salary down
UPMC CEO Jeffrey Romoff's base salary and bonus were cut in 2011, but his overall compensation was higher than the previous year, according to the nonprofit hospital network's latest tax returns.
Romoff, 67, made $4.3 million in base salary, bonus and other compensation in 2011, a 22 percent drop from $5.5 million the previous year.
The lower cash payments to Romoff may come as a surprise given UPMC's notable financial success in recent years.
Asked if UPMC's board of directors was unhappy with Romoff's performance, spokeswoman Susan Manko said, “No. Part of his bonus was deferred.”
Romoff's bonus was $2.9 million, down from $3.7 million the year before. His salary of $958,992 also was lower — down from $959,210.
Romoff's total compensation, which includes the value of retirement accounts and other benefits, was $6.1 million, a 3 percent increase from the previous year's total of $5.9 million.
The federal government requires tax-exempt organizations such as UPMC to file public tax returns. The filings disclosed on Thursday cover the financial year that ran from July 1, 2011, to June 30, 2012. But base salary, bonus and other compensation figures for top-paid employees are for the 2011 calendar year. Retirement payments, deferred compensation and other benefits are reported for the financial year.
UPMC's financial performance for the 2012 financial year was strong. The system posted revenue of $9.6 billion, with income from operations of $351.3 million and net income of $220.7 million.
The salaries for Romoff, who leads the dominant health system and largest employer in Western Pennsylvania, and other UPMC executives have been criticized recently by Pittsburgh Mayor Luke Ravenstahl and others. Ravenstahl mentioned the salaries when he announced a lawsuit the city filed in March challenging UPMC's tax-exempt status.
In addition to Romoff, 21 UPMC executives were paid more than $1 million in 2011, tax returns show.
UPMC competitor West Penn Allegheny Health System on Tuesday released its tax returns showing that former CEO Christopher Olivia received total compensation of $6 million in 2011, a figure that included retirement and severance payments. Olivia, who stepped down from the financially troubled system in June 2011, was one of eight executives to receive more than $1 million.
Alex Nixon is a staff writer for Trib Total Media. He can be reached at 412-320-7928 or email@example.com.
Add Alex Nixon to your Google+ circles.
Show commenting policy
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.
- Pittsburgh’s tech startup activity rates last of 40 metro areas in report
- After years of downsizing, big houses make comeback
- New J.C. Penney CEO comes from middle-income America
- How to land that 1st job after college
- Truffle dogs sniff out pungent fungus prized by foodies
- Floating homes offer ‘affordable’ option in San Francisco area
- Corporate America speaking out on social issues, getting results
- H-D Advanced Manufacturing in Franklin Park buys aerospace components maker Firstmark
- Aetna to buy rival Humana for $35B
- FirstEnergy joins 2 others to reopen Canonsburg manufacturing facility
- U.S. employers add 223K jobs, jobless rate falls to 5.3%