Physician Employment Agreements are a core part of the relationship between healthcare providers and the physicians who work for them. Physician Employment Agreements have evolved with the consolidation of the healthcare industry in which physicians are hired and due to the passage of the Affordable Care Act (ACA), more commonly called Obamacare. These developments have given rise to physician practice acquisitions. Let us understand some of the reasons for which Physician Employment Agreements have risen over the past few years:
 Acquisition of physician practices offers healthcare providers the opportunity for consolidation and better integration of their business by aligning the business prospects of the referral networks with the hospital’s strategic goals

 The perceptible fall in reimbursement rates of a few specialties has made specialists in these areas feel the need to tie up with an established hospital brand. The main advantage they get by doing this is that in addition to gaining some latitude and flexibility in negotiating contract rates; these specialists can also earn an assured income, which is very uncertain if they practice on their own

 A few of the recent amendments into the Medicare and Medicaid reimbursement systems have been facilitating bundled and integrated payments for providers. This system is suitable and profitable for healthcare providers that have more physician practice acquisitions

 Both experienced and new physicians gain when their physician practices get acquired by hospitals. This is how: it gives experienced physicians the opportunity to enhance their incomes, while younger physicians can look forward to more flexibility in their working hours, which earns them the much-desired ability to balance life and work, a rarity for a young practitioner in this profession.
What are the things you should know about physician employment agreements?
Now, having understood the concept of physician employment agreements, let us look at the things you should know about physician employment agreements. These are some of the things you should know about physician employment agreements while signing them:
Physician compensation: Undoubtedly, one of the most important things you should know about physician employment agreements is the compensation the physician is going to get for working with the hospital. In professions such as those of the physician, the practitioners would have put in years and years of sheer hard work and perseverance and would have sacrificed a lot of comforts in their personal lives. They certainly look forward to getting compensated suitably for this effort. The physician should look into the structure of compensation, such as whether she is going to be paid a fixed salary, whether it is going to be in proportion to the number of case, or anything else. This should be negotiated in a forthright manner without any ambiguity.
Working hours: Another of the important things you should know about physician employment agreements is working hours. As noted earlier, flexibility in the working hours is one of the criteria for choosing to get acquired by a practice. The physician should consider how much flexibility the healthcare provider offers, so that she can plan her schedule for the working days or allot time for family or other commitments.
Insurance: The terms of the malpractice insurance is another of the things you should know about physician employment agreements. Different insurance companies offer various kinds of malpractice insurance. The terms of the physician employment agreement should be clear about what the provider is offering to the physician.
Working conditions: In addition to the specialization, the physician should also look into the working conditions, such as where the hospital is located, how much time to takes to commute to work and back home, and so on. Spending too much time on commute eats into the productive hours.
Reputation of the hospital: This certainly is one of the core things you should know about physician employment agreements. In addition to the reputation the hospital enjoys, the physician should also consider the kind of cases the hospital is known for. This will help her determine if it is suited for her specialization.
Leave and other benefits: Physicians are usually overburdened with work. This makes the leave policy a key factor while considering working with the hospital. The physician should also look into other aspects such as leave, employment benefits and other issues.
Termination: This is another of the things you should know about physician employment agreements. The terms under which the contract gets terminated should be very well thought out and spelt out in the agreement.

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