When do I sign a contract?

Here at People Medical Consulting we like spreading what we know and giving you a clear pathway to your career. We’re answering a different question each week based on queries raised via our Facebook & Instagram profiles.




When do I sign a contract?  



What is a contract?

A contract is a document signed by both the practice and the GP which defines the relationship between the two. You would include information about income, expectations and requirements. It is intended to be legally binding in the case of a dispute.



What is included in a contract?

Usually included in a contract for General Practitioners is:

  • the agreed percentage of billings
  • if there is an initial guarantee and for how long
  • the relationship (contractor / employee)
  • who is managing the money
  • the length of the contract (if applicable)
  • the notice period
  • a restriction of trade (if applicable)
  • intellectual and physical property ownership
  • responsibilities and rights of both parties
  • dispute resolution process.


There can be many variations on this- this is just the standard things we see in a contract!



So…when should a contract be signed?

A contract should be signed before any PESCI, AHPRA or Medicare documents are completed. It is important to have an agreement in place before you commit financially to a practice or doctor.



Why do you say this?

The expectations need to be set before anyone is committed beyond their ability to leave without significant financial or personal loss.


An example from both perspectives:


A GP sits a PESCI, or relocates themselves and their family to an area and then the practice provides them a contract where the offer (percentage, initial guarantee, other benefits) isn’t in line with initial discussions or the expectations of hours to be worked and length of contract or restrictions of trade aren’t what was originally agreed on.


A practice arranges stationary, new equipment, signage, marketing and starts booking patients, then when they send the contract the GP requires a different offer or wants a different working arrangement.


Setting expectations up front is the best way to ensure a happy ongoing relationship.



How Can We Help?

Our team help General Practitioners both with finding jobs and helping with the full applications process including finding the best pathway to fellowship for you and your life goals. If we can help, please contact us at admin@peoplemedical.com.au.  



People Medical Consulting are a team of professionals with a passion for guiding those specialising in the Medical industry to find their career pathway and settle into Australia. Working with both Australian trained and Overseas trained professionals, we have extensive experience in Recruitment of General Practitioners, and  Document Assistance for those requiring support with RACGP, AHPRA, 19AA and 19AB Medicare Exemptions.

Please Note this article is an opinion piece based on experience, rather than with written evidence to cite. If you have any additional information to add, or disagree with the article then please contact our team directly at admin@peoplemedical.com.au

Related Articles

PEP Specialist Stream

IMPORTANT UPDATE: From 22 November 2023 an exemption will apply to the following Continuing Professional Development (CPD) requirements for Comparability Assessments: *This will apply to all pending and…