Employer - Physician Contract Glossary

Employer

Definition

The organization or person who hires you, pays you, and oversees your employment.

Examples in Context

“Employer refers to XYZ Hospital, a nonprofit corporation certified to employ physicians.”

“The Employer, ABC Medical Group, shall provide the Physician with salary, benefits, and access to required medical facilities.”

“Employer shall retain sole authority over scheduling, patient assignment, and facility operations.”

Implications for Physicians

• Determines your salary, benefits, and working conditions.
• Controls your schedule, call duties, and patient assignments.
• Influences the practice culture, career advancement, and partnership opportunities.

Negotiation Tips

• Ask for clarity on how practice decisions are made — especially for private groups.
• Confirm the employer's financial stability to avoid contract issues during ownership changes.
• Request a clear explanation of how bonuses, incentives, and profit-sharing are managed.

Red Flags and Pitfalls

• Employers with vague contract language may introduce hidden fees, unclear performance expectations, or excessive call duties.
• Out-of-state or corporate ownership may conflict with state-specific physician employment laws.
• Non-physician-owned entities may lack proper medical oversight, impacting patient care standards.

Related Terms

• Parties to the Contract
• Commencement Date
• Ownership and Setting of Fees
• Independent Contractor Agreement

FAQs

• “What happens if my employer sells the practice?”
  • Your contract may transfer automatically to the new owner, but you should request written confirmation to clarify your terms.
• “Can my employer change my pay without warning?”
  • Only if your contract allows it. Review clauses related to salary adjustments or bonus structures.
• “What should I ask about my employer before signing?”
  • Check the employer’s financial stability, ownership structure, and medical compliance history to identify risks before committing.

Legal Disclaimer

The information provided in this glossary is for educational and informational purposes only and should not be construed as legal advice. While we strive to provide accurate and up-to-date information, this content is intended to help physicians better understand common contract terms and does not replace professional legal guidance.

For personalized advice regarding your employment contract or other legal concerns, we strongly recommend consulting with a qualified attorney who specializes in physician employment contracts.

You can find experienced legal professionals through our Physician Contract Lawyer Directory.