Alberta's government is providing a $172.3-million increase in physician compensation as part of the 2022–26 master agreement with the Alberta Medical Association (AMA). The funding was developed through a collaborative process focused on shared priorities, including easing pressure on acute care, improving rural recruitment and modernizing how physicians are compensated.
With this investment, Alberta has now committed more than $1 billion to supporting physicians since 2022, including $780 million in new investments already negotiated under the 2022–26 AMA agreement, as well as additional investments in primary care compensation, physician panel support and market rate review increases.
“This agreement takes meaningful steps to modernize physician compensation, supporting team-based care and moving away from legacy models that no longer reflect how care is delivered in Alberta’s health system. These increases help ensure that Alberta’s physician compensation remains competitive to attract and retain physicians.”
As Alberta continues to grow, so does the demand for care. With Alberta’s physician workforce currently at a record high of 13,848, this investment builds on that momentum, supporting recruitment and retention across all specialties and regions so Albertans can access the care they need, when and where they need it.
“This investment strengthens our ability to recruit and retain physicians in rural and remote communities. By improving compensation supports and stability, we are helping ensure Albertans outside major centres can access care closer to home.”
Earlier this year, binding arbitration established a three per cent overall increase to physician compensation. Today’s agreement provides the framework for how this increase will be allocated, resulting in increased compensation for more than 90 per cent of Alberta physicians.
“Investing in physicians is investing in a system that ensures taxpayer dollars are working for Albertans. By modernizing how physicians are compensated we are easing pressure on our health system, attracting a skilled workforce, and delivering the best care for Albertans.”
Of the total, $87.7 million will go toward modernizing compensation for physicians working under clinical Alternative Relationship Plans (ARPs). This includes a modernized clinical ARP structure, enhanced ARP rates, expanded access to after-hours billing, and support for physicians transitioning away from legacy stipend models. The modernized clinical ARP rates and structure will also be used to enhance emergency departments through the Triage Liaison Physician program. Remaining details related to the Triage Liaison Physician clinical ARP agreement template and implementation are being completed with Acute Care Alberta and the AMA, allowing physicians to begin applying in the near future.
“The AMA and government worked collaboratively to direct available funding toward physician priorities and patient care. While physicians still face ongoing challenges in their goal to deliver high-quality patient care, today's announcement makes important progress in modernizing alternate compensation models and reducing barriers to entering them – ultimately supporting the critical care that Albertans rely on.”
Together, these investments support physicians across all specialties as Alberta continues working to modernize the health system and improve access to care.
Quick facts
- Physician rate increases will be implemented as soon as possible and be retroactive to April 1, 2025.
- This $172.3-million investment is in addition to the $780 million in new investments already negotiated under the 2022–26 AMA agreement to stabilize the health care system.
- Additional recent investments include $200 million for primary care compensation, $57 million for family doctors and nurse practitioners, and $41 million for market rate review code increases.
- The three per cent overall increase was determined through binding arbitration; the arbitrator’s decision noted Alberta’s strong physicians’ attraction and retention results and awarded increases that ensure physician compensation remains competitive and fiscally responsible.
- Negotiations between Alberta’s government and the Alberta Medical Association on a new master agreement are ongoing.
- ARPs are different methods of physician compensation for delivering specific program services, other than the traditional fee-for-service model.
- Fee-for-service pays physicians per service provided, while ARPs support more flexible, team-based care and broader health system objectives such as improved access, recruitment, retention and patient outcomes.