Ditto. What is so bad about being a hospital employee? I'm just an M3 trying to figure things out.
A hospital employee will be at the mercy of their hospital administration employer. Limited/no opportunity for negotiating with the hospital for hours/workload/compensation, fixed salary, etc. That's a bad arrangement. Anything you make over your salary goes to the hospital. Even if there is an incentive compensation component, they're still making money on your back.
You can substitute anesthesia management company for hospital above, it's the same, but worse because your boss isn't even part of the system. If they lose your hospital/ASC, they don't care, they have 50 more. They also don't care if you have to relocate to some other managed hospital when you're fired suddenly.
In private practice your group keeps all the money made and they distribute the excess to the partners. Some are not partner track, ie employees of the practice, but they usually get some other benefit over partner track people, like making more money, no call, etc. There are a lot of different arrangements for PP compensation, but the point is you keep your earnings.
Traditional academic practices have faculty employees with a "dean's tax" paid back to the medical school. Any profits will not normally be paid back to you as a bonus. I've been in this arrangement as well, it's not the best. You bust your hump for a pat on the back and a thumbs up at the end of the year. Some academic practices have incentive compensation strategies, but I don't get the impression that it is the norm. Some also pay for extra time or days worked, very variable as well.
I'm in a hybrid private-academic practice. It's an unusual arrangement, but it works, and is, IMHO, fair, though my work is supporting the salaries of researchers and over paid managers.
A fair and equal PP is the best arrangement. Hospital employee is really only a little better than AMC stooge.
One PP caveat is that while you are "buying into" your partnership, and the partners are splitting your 1-200k+/ yr earnings over your salary, the group may be falling apart, losing hospital subsidies, about to be taken over, etc. 2-3 years down the line they might be selling out or being forced out. No pot of gold at the end of the rainbow for you.
What is my father in law's PP radiology practice worth after 20 years of high quality service to a profitable hospital? What should the buy in to partnership be to earn a share of his stable long term practice. Answer... Nothing. The groups contract was not renewed. A few upstarts came in and they're outsourcing to India. It happens. Maybe he should have thought of that instead of hiring a couple new guys. They tried to make them hospital employees as well, but they didn't have their act together to make it happen. The new group may be on borrowed time as well.