Report: US drug companies cut payments to doctors by up to 62%

Some of the USA’s largest pharmaceutical companies have cut payments to health professionals for promotional speeches about their products, according to a report from US investigative journalists ProPublica.

It found that US drug major Eli Lilly’s (NYSE: LLY) payments to speakers dropped by 55%, from $47.9 million in 2011 to $21.6 million in 2012, while Pfizer’s (NYSE: PFE) payments dropped 62%, from nearly $22 million to $8.3 million. Swiss drug major Novartis (NOVN: VX) also spent 40% less on speakers that year than it did between October 2010 and September 2011, reducing payments from $24.8 million to $14.8 million.

ProPublica reports: “The sharp declines coincide with increased attention from regulators, academic institutions and the public to pharmaceutical company marketing practices.” It points out that some pharma companies have settled federal whistleblower lawsuits in recent years over improper marketing of their drugs, which may have prompted the change in behavior.