Ascension Wisconsin abandons plan to outsource ICU physicians
Ascension Wisconsin has scrapped its plan to outsource some of its intensive care unit physicians just days before it was set to take effect, the health system confirmed in a statement to Becker’s.
The proposal, which was set for Sept. 1, would have brought in critical care physicians from Knoxville, Tenn.-based TeamHealth TeamHealth, a national staffing group owned by private equity firm Blackstone.
The plan drew pushback from inside and outside Ascension. Nurses told Wisconsin Public Radio they feared outsourcing could affect patient care, while U.S. Sen. Tammy Baldwin urged St. Louis-based Ascension to reverse course.
“Our decisions are always guided by what is in the best interest of our patients,” an Ascension Wisconsin spokesperson said in a statement provided to Becker’s. “We will continue to deliver critical care services through our existing physician groups and employed providers across Ascension Wisconsin. This decision prioritizes continuity for patients, staff and providers, ensuring we are meeting the needs of the communities we are privileged to serve.”
In an Aug. 14 letter to Ascension leadership, Ms. Baldwin had raised concerns about the health system’s potential alignment with TeamHealth, citing litigation over its billing practices.
“You are choosing to do business with a firm that has drawn intense scrutiny and litigation over its staffing practices and allegations of improper billing, overcharging patients to the point of fraud,” she wrote. “Physicians in Milwaukee are sounding the alarm about reduced staffing levels and overreliance on electronic intensive care units, and I urge you to heed their warnings about patient care and safety.”
TeamHealth defended its practices in a statement provided to Becker’s: “Led by our mission and values, TeamHealth’s billing practices have always been fully compliant with all laws and regulations. TeamHealth never engaged in the practice of sending surprise medical bills to patients and always protected its patients when underpaid by insurers. In fact, TeamHealth fully supported the federal No Surprises Act, which banned surprise medical billing.”
Ascension’s reversal comes as other systems experiment with outsourced physician models to address workforce and financial pressures.
Trinity Health of New England, part of Livonia, Mich.-based Trinity Health, recently transitioned 147 emergency and hospital medicine providers to Vituity — a physician-owned medical group headquartered in California — across three Connecticut hospitals. Trinity framed the move as a strategic investment to support sustainability and enhance access, efficiency and provider support.
While Ascension Wisconsin is stepping back from outsourcing ICU physicians, the issue remains a flashpoint in healthcare as systems balance financial pressures with workforce stability and community trust.
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