E  D  I  T  O  R  I  A  L

Fair Compensation

BY WILLIAM G. JOHNSSON

In this high-tech age people become millionaires over-night. A high school dropout, Bill Gates, is the richest person in the world, worth a cool $90 billion. And salaries of top executives have gone through the roof.

The church—our church—has a work to do. It employs many thousands of people in a variety of capacities. In this time of incredible wealth, what is fair compensation for those who work in church-related enterprises?

This issue, simmering for years, recently came to a head in the United States through a series of articles published in the Washington Post, which raised concerns about the salaries and compensation packages of top executives connected with Shady Grove Hospital, a major health-care facility in the Washington, D.C., area.

Many Adventists, reading of compensation levels reaching up to $500,000 and beyond, were surprised and shocked. In response, Shady Grove Hospital spokespersons faulted the Post for giving a misleading picture.

The Review has conducted its own study, not just of compensation levels at Shady Grove but for the eight Adventist health systems in the United States (see pages 19-23 of this issue). Our investigation called for a mass of detailed financial information, and in general the chief financial officers involved were very helpful. Because of the highly technical nature of the subject matter, we turned to a professional, Sharon Anderson Wilson, an Adventist attorney in Boston, to prepare the report.

Openness on our part mandates that we inform readers that Adventist HealthCare, Inc. (Mid-Atlantic), the corporation that owns Shady Grove, contributed $10,000 to help us set up the Adventist Review Web site last year. Various other Adventist entities make possible the operation of this site, which is self-funded.

Our report deals only with compensation levels for executives in Adventist health care, but it raises far wider issues concerning the remuneration of all employees connected with the church. These issues are difficult and complex, and I do not claim to have special wisdom. However, as one of those employees, I offer the following perspectives:

1. The Adventist Church was founded on sacrifice and unselfish giving of time, talents, and means. That spirit has made us what we are, and if we ever lose it, we will lose a defining characteristic.

2. In any organization, differences in salaries invite comparisons, with accompanying feelings of jealousy and greed. One could imagine an “ideal” setup in which every church worker is paid exactly the same, whatever the function or position. That would provide equal compensation, but would it be fair? I don’t think so.

3. In the United States, Adventists who work for the church or its allied structures come under two different compensation systems. Ministers, teachers, conference presidents, and so on are paid from church funds (tithes and offerings) and are compensated within a narrow range, so that the General Conference president makes only about 12 percent more than a church pastor. All health-care personnel, however, are paid out of hospital-generated funds, and their pay scale is guided by rates in the marketplace. This arrangement, which came about as the result of a series of actions voted by the church over the years, nevertheless has led to the current situation in which top health-care executives may receive as much as 10 times the compensation of employees under the first system. This is surely an unhealthy situation that must be addressed.

4. God, who alone reads hearts, tells us to “judge not, that ye be not judged” (Matt. 7:1). Let’s leave questions of dedication and sacrifice to Him. I am convinced that mission is a high priority for large numbers of Adventist health-care workers, just as it is for employees in other ministries of the church.

5. Everything connected with the Adventist Church must be open. I am not calling for a public listing of all salaries—that strikes me as unseemly—but all information about compensation should be shared with the appropriate boards and committees, as well as members who desire to have it.

I salute our health-care executives, who, wrestling with advances in medical technology, cutbacks in government reimbursements, and insurance problems, labor long and hard to keep our institutions viable. The issue isn’t whether they deserve high salaries, but what levels of compensation are appropriate in an Adventist context.

And that issue, of course, extends to every employee connected with the church.
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William G. Johnsson is editor and publisher of the Adventist Review.


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