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PROFESSIONAL LIABILITY AND EMPLOYEE RELATIONS - Essay Example

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There are several factors that lead to this undesirable occurrence in the organization, but organizations must learn to deal with the uncertainties of such an…
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PROFESSIONAL LIABILITY AND EMPLOYEE RELATIONS
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Professional Liability and Employee Relations Employers and managers find it necessary to terminate some workers during the of the employment period. There are several factors that lead to this undesirable occurrence in the organization, but organizations must learn to deal with the uncertainties of such an occurrence. Market forces, government policy, breach of contract, social problems and incompetence are among the factors that lead to termination of the job. Health organizations are also affected by termination of workers when it becomes necessary. Settlement agreements are contracts that employers enter with employers, especially when there is a dispute or termination of workers. These contracts use the laid down legislation to develop a binding agreement, which guides the employer and employee in their final period of interaction (Pozgar, 2012). This essay looks at the issues that employers and managers should consider when drafting settlement agreements with their employees in the context of a health organization.
The agreement must consider the reasons behind the termination of employees. Different reasons will affect the nature of the contract that the employer enters with the terminated employee. For example, employees who are terminated due to breach of contract cannot enter into the same contract with those who are terminated due to other factors beyond their control. Furthermore, the decision of termination is a responsibility of a qualified manager who understands the risks associated with the termination (Pozgar, 2012).
Compensation is one of the issues that the termination agreement should consider. The employer must consider paying the employee an amount of money that will compensate him or her for the termination. This especially happens when the reasons for the termination are not due to the inconsistencies and the incapability of the employee. If the reasons for termination are market driven, then the employer must consider the fate of the employee who has nothing to do with the turn of events, which is called the unemployment compensation (Hospital Employees’ Union, 2013)
Insurance policies and taxation are other issues that the agreement should consider. Most of the workers in the health sector are insured against risks in the workplace and other risks in their lives. Therefore, the contract must consider the nature of the policies that employees had before their termination. The consideration should be as to whether the employee will continue enjoying protection or the contract will be cancelled. The settlement agreement must also consider whether the terminated employee had taxation arrears. The agreement must stipulate how the tax arrears will be met even after the employee has been terminated.
Confidentiality is also another issue that should be considered in the preparation of the settlement agreement. Most organizations maintain that the agreement should be very confidential and that each of the parties should not disclose the information to third parties. The agreement also stipulates the course of action that will befall on those who breach the contract. However, these formalities depend on the laid down legislation in the country concerned. The contents may not differ, but there can be some observable differences between agreements from different countries. The settlement agreement protects the employee from any form of harassment or discrimination from the employer (Hospital Employees’ Union, 2013).
References
Hospital Employees’ Union. (2013). COMMUNITY HEALTH. Retrieved on 20th February, 2013 at Pozgar, G. D. (2012). Legal aspects of health care administration. Sudbury, Mass: Jones & Bartlett Learning. Read More
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