Our health law firm advises and represents many medical practices and other healthcare services businesses that employ physicians. In every instance, the employment of a physician is a significant transaction memorialized by a physician employment agreement. Although the importance of the physician employment process is known, it is not uncommon even for sophisicated employers that have had many physician employees to underestimate the significance of the physician employment agreement. From our experience representing physician employers, we believe the following points bear consideration:
- Update your contract form each year.
As a litigation firm that handles many physician employment disputes that make their way into the court, it seems to us a common thing that physician employers, hospital systems and medical practices included, are too often complacent about the form of physician employment agreement they use. Many times, a form was prepared years (or decades) ago by a well-intended lawyer and for many reasons needs to be updated to jibe with current norms and practices in the employer’s enterprise. With each year that passes, the employer gains crucial experience with all aspects of the physician employment process, which experience informs what should go into the contract and how terms and verbiage should be cast. The lawyer that drafted the contract years ago of course could not have foreseen all developments in your particular business now. Meet with your lawyer once a year to discuss specific experiences and developments any necessary updates to your physician employment agreement form. The relatively modest cost in terms of your money and time will likely be a strong positive investment.
- Treat your physician staff well.
Physicians are the life blood of any medical practice or hospital system. Sure, a bad apple may come along. But in the aggregate, that your physician labor force is good as a group is crucial. Unhappiness, discord and attrition among your physicians creates a substantial and avoidable business and compliance risk. Often, much of that sort of disharmony can be avoided (or at least reduced) by a committed effort to find ways to treat doctors well, in all aspects of their employment experience. Finding ways to make your physician work force happy may pay big financial dividends over the long haul.
- Take swift action to address physician staffing problems.
By the same token, when it becomes evident that a physician makes errors in clinical judgment, regularly fails to properly document medical care, engages in any actions that may present a health safety risk for patients, or simply cannot get along with other staff, addressing such problems in a deliberate and documented manner is critical. Ignoring such developments is not a viable business option. Addressing such problems will almost always merit careful review of the physician’s employment agreement, practice governance documents, any applicable employment handbook provisions, written practices and procedures regarding disciplinary process, and similar other documents, to develop a smart, fair, and legally safe pathway. In fairness to the physician, and in order to protect the practice and its patients, dealing with such circumstances will warrant strict adherence to written policies and procedures. Navigating this process will warrant consulting with your health law attorney.
- Deliver what you promise.
100% of the time, the employment of a physician in your medical practice or healthcare services business is extremely important to that physician. To that physician, his/her career trajectory will carry importance surpassed by very few things in life. The physician will always, even if only subconsciously, be evaluating you, his/her employer. Do you do what you say? Finding ways to demonstrate to the physician employee, big and small, that you are always true to your word, will create credibility that will enhance the employment relationship in a way that may substantially benefit your business. Demonstrating your commitment to the physician’s success and happiness is the best way to garner reciprocal commitment from your physician staff and promote longevity in the employment relationship.
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Little Health law advises and represents many physicians on physician employment agreement matters. Our firm provides an initial consultation without charge for you to determine if our health law team is a fit for your legal need. Reach out to us today at info@littlehealthlaw.com or 404.685.1662. We look forward to connecting with you.