Productivity-Based Agreements

Advice to Physicians and Medical Practices on Negotiating Profitable Employment Agreements

The landscape of physician compensation is changing. A growing number of healthcare facilities and medical groups are moving toward productivity based employment agreements. This model, which combines a base salary with performance incentives, can be highly profitable for both the physician and the practice. However, it can also be a source of costly disputes if the contract is not drafted with precision and foresight.

A physician employment agreement is one of the most important documents you will sign or issue in your professional career. Its terms will govern your income, your responsibilities, and your future for years to come.

For the Employed Physician: Does Your Contract Truly Reflect Your Value?

As a physician, your primary focus should be patient care. Yet, you must also protect your financial interests. A vaguely worded clause or a misunderstood bonus structure in your employment agreement could cost you tens of thousands of dollars in earned income.

Do you fully understand how your productivity is measured? Is it based on patient encounters, work Relative Value Units, or a percentage of net collections? An ambiguous contract puts your career and your livelihood at risk. We believe you deserve an agreement that is clear, fair, and transparent. An experienced healthcare law attorney can help you secure it.

For the Medical Practice: How to Attract and Retain Top Medical Talent

For a medical practice or healthcare facility, a well structured employment agreement is a critical business tool. Standardized, unambiguous contracts reduce administrative burdens and minimize the risk of future legal challenges from physicians.

They are essential for recruiting high performing doctors and aligning their incentives with the goals of your practice. A clear contract that fairly rewards productivity demonstrates professionalism and builds a foundation of trust with your medical staff from day one. It is an investment in the stability and success of your organization.

Secure Your Interests with an Experienced Healthcare Law Attorney

Douglas Guffey is a healthcare law attorney with extensive experience in physician employment agreements. He provides counsel to individual physicians, medical groups, and hospitals in the drafting, negotiation, and review of these vital documents. Whether you are a physician seeking to secure a fair contract or a practice group aiming to develop a strong, enforceable agreement, his legal guidance is indispensable.

Our services for physician contracts include:

• A meticulous review of proposed employment agreements.

• Negotiation of compensation, bonus structures, and benefits.

• Drafting clear and enforceable contract terms.

• Advising on non compete clauses, call coverage, and termination provisions.

Do not leave your financial future or the stability of your practice to chance. To ensure your physician employment agreement is fair, clear, and protective of your interests, contact our office for a consultation.