July 9, 2024

“If you want something done right, do it yourself.”

“If only I could duplicate myself.”

What employer hasn’t spoken or thought some variation of these words on more than one occasion? Unfortunately, you can’t be in two places at once and cloning isn’t a thing…yet. So, in the meantime, you have to rely on your staff. Every business has had its fair share of poor employees. After all, good help is hard to find. But for a small private practice, poor staff performance can be disastrous. When a staff member doesn’t do their job, others who may not be as qualified are forced to pick up the slack, or worse, things just go undone. So, when you come across truly stellar employees––the ones who go above and beyond, who understand the business and buy in to your vision, and who take things off of your plate rather than pile them on––do your best to hold on to them. An employment agreement can do the trick. An employment agreement not only allows you to lock-in your favorite employee to an agreed-upon term of years, but it also shows them that you appreciate and value their commitment. Couple that with a raise, some added fringe benefits or both, and you’ll have their loyalty.

More than merely a tool to help you retain talent, an employment agreement also contains provisions designed to protect your practice and your bottom line. In that sense, an employment agreement is also useful as a safeguard against subpar employees. For example, the following are some key terms that any employment agreement should include:

• A “covenant not to solicit” prohibiting the employee from poaching your patients or remaining employees (in the event the employee goes to work for a competitor or starts their own practice);

• A “services to be rendered” provision, so there is no confusion as to what is and is not in within the scope of the employee’s duties;

• A “termination of services” provision listing the grounds for termination of the employee;

• An “arbitration” provision requiring that all disputes between the employee and the practice be resolved by arbitration, which is more cost-effective than a lawsuit;

• A “non-disparagement” provision prohibiting the employee from making negative comments about your practice, including on any social media or other electronic platform;

• A “compliance” provision requiring the employee to comply with federal and state laws that are applicable to the practice; and

• An “outside acts” provision shielding your practice from liability for any acts or omissions by the employee that are unrelated to the services they provide to the practice.

While the best practice is to have an employment agreement signed at the outset of the employer-employee relationship, it’s never too late to put one in place.

Questions or comments? Please contact us at (917) 444-2879 or Admin@AndrieuxLaw.com.