One of the greatest mistakes an employee can make is to fail to thoroughly review the employment agreement. An employee agreement defines how bound you will be to your employer, and it may put limitations on your future that you are not prepared for. Below are four key areas you should take note of before negotiating.
1) Non-compete and non-solicitation clauses.
Look for post-employment restrictions. Non-solicitation language prohibits patient solicitation once the employee leaves. The non-compete clauses will prevent the employee from getting a job within a certain radius. When reviewing this section of the contract, note that it is not legal for the non-compete covenant to be in effect for several years, and the distance cannot be excessive. Any non-compete and non-solicitation clauses must be reasonable.
2) Benefits
The types of benefits offered will differ between employers, but regardless of which benefits are offered, employees are entitled to the same benefits as other employees in the same situation. These benefits could include paid time off, health insurance, disability insurance, malpractice insurance, gas reimbursement, tuition reimbursement, etc. A few questions to ask yourself when looking through the benefits section: What holidays are included? How many PTO days are offered? Are sick days included in PTO?
3) Salary
Will you be on salary or paid by the hour? Are RVU/productivity bonuses spelled out in the agreement? If so, who will decide whether or not you've met the criteria for productivity bonuses? Is that criteria objective? If the employer offers a sign on bonus, will you need to pay it back if you decide to leave before a certain amount of time? Will you receive a W-2 on 1099?
4) Term and Cause for Termination
How long is the contract? How much notice are you required to give when you decide to leave? Are you an "at will" or "fixed term" employee? Every state except for Montana has "at-will" employment laws. This mean that an employer can fire an employee at any time and for any reason. However, some employers have "fixed-term" policies that require good cause to fire and therefore provide employees with some job protections.
1) Non-compete and non-solicitation clauses.
Look for post-employment restrictions. Non-solicitation language prohibits patient solicitation once the employee leaves. The non-compete clauses will prevent the employee from getting a job within a certain radius. When reviewing this section of the contract, note that it is not legal for the non-compete covenant to be in effect for several years, and the distance cannot be excessive. Any non-compete and non-solicitation clauses must be reasonable.
2) Benefits
The types of benefits offered will differ between employers, but regardless of which benefits are offered, employees are entitled to the same benefits as other employees in the same situation. These benefits could include paid time off, health insurance, disability insurance, malpractice insurance, gas reimbursement, tuition reimbursement, etc. A few questions to ask yourself when looking through the benefits section: What holidays are included? How many PTO days are offered? Are sick days included in PTO?
3) Salary
Will you be on salary or paid by the hour? Are RVU/productivity bonuses spelled out in the agreement? If so, who will decide whether or not you've met the criteria for productivity bonuses? Is that criteria objective? If the employer offers a sign on bonus, will you need to pay it back if you decide to leave before a certain amount of time? Will you receive a W-2 on 1099?
4) Term and Cause for Termination
How long is the contract? How much notice are you required to give when you decide to leave? Are you an "at will" or "fixed term" employee? Every state except for Montana has "at-will" employment laws. This mean that an employer can fire an employee at any time and for any reason. However, some employers have "fixed-term" policies that require good cause to fire and therefore provide employees with some job protections.
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