“P.R. Ploy”: PhRMA Recognizes the Need to Curb Gift-Giving

PhRMA, the trade association for drug companies announced yesterday that it has strengthened its voluntary guidelines on interactions with health professionals, which includes standards on gifts and other payments. The new code was rushed out in advance of the Massachusetts House consideration of a ban on all gifts, expected next week. This action shows that the industry itself recognizes the excessive nature of, and inappropriate influence of, gifts to health care professionals.

However, the new PhRMA guidelines are an insufficient fix to the conflicts of interest created by gifts, and resulting increased costs and compromised patient safety. The Baltimore Sun analysis found the guidelines “would eliminate only a small fraction of the estimated $20 billion a year the companies spend on marketing to doctors.”

“This announcement is a P.R. ploy. It really is a meaningless gesture,” said Dr. Jerome P. Kassirer, a Tufts University School of Medicine professor and drug industry expert.

Here’s why:
• Not all pharmaceutical companies are members of PhRMA and the guidelines are entirely voluntary even for PhRMA members. It doesn’t apply to biologics and device manufacturers, who spend millions on “gifts.”
• Neither enforcement provisions nor penalties for violations are included in the guidelines. Even PhRMA admitted that the only enforcement mechanism is “media scrutiny and industry competition.”
• In-office meals and meals at Continuing Medical Education conferences are not prohibited, while these are some of the most common and influential gifts to prescribers.
• “Educational items” of up to $100 are still allowed.

The Massachusetts Prescription Reform Coalition will continue to press for the Senate-passed ban on gifts. For more details on the coaltion’s concerns, take a look at our press statement.
Kelly Love

About HCFA

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