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Types of Contract Agreements for Nursing Agencies

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Types of employment contract agreements needed to operate a nursing agencies.

Permanent Contract Agreements. If its not written down, it didn’t happen is a favorite of lawyers in the labor field . Though, a lot of employees work without written contracts in the US, it is prudent for employees to have the terms of agreement sign by both parties. A permanent contract agreement is the most common of contract in the America. Contract agreement is an advantage for employers for the reason that they can hold on to good employees. A permanent contract does not have an expiration but some clause for early terminations agreed upon by both parties.

Fixed term contract agreements is for temporary employment for set time terms, such as 3 months, 6 months, or whatever the length of time the agencies and healthcare facilities agreed upon. They are temporary workers who will be working a set amount of time usually to full fill shortage of workers, nurses, casual contracts . A fixed term meaning short duration for a specific period of time. Fixed term employees are not much different to permanent employees until the employee or employer ends the employee/employer relationships.

Per Diem Nursing: What is it?  The term per diem means, by the day. These nurses are hired on a daily basis or an hourly basis, but majority are per day. These nurses work at different facilities in a daily basis or same facility for weeks. The nurses and the scheduler will work out a schedule on a weekly schedule or per needed basis. The shifts can be scheduled directly with the hospital or with the agency.

Nursing Agency contract between healthcare facilities. Business to business contract agreements.

Business to business contract agreements are contract agreements between two or more businesses. The are often utilized when services are rendered between parties for a fee or when services are needed to be provided. Written agreements can protect your business when you go to court.

Nurse Agencies contract to its clients, employees or subcontractors.

An employment contract between nurse staffing agency employer and an employee or subcontractors are contract agreements that set out the terms and condition of the nursing agency and employee and subcontractor relationships. The contract agreements sets out their employment rights, responsibilities, and duties. Employment across most states is viewed as at will, this means essentially that the employer can terminate the employee as long as within the legality. Discrimination and retaliation are illegal moved by an employer to terminate an employee. Only one state, which is Montana, do not have the at will in place, which means the employer can not terminate the employee after the probationary period unless terminated for a good cause.

Terms and conditions for employment contracts for nursing agency.

The most common terms included in the contract between nurses and the nurse agency include:

  1. Wages and Compensation
  2. Responsibilities
  3. Schedules
  4. Employment length
  5. Confidentiality
  6. Benefits
  7. Non compete agreement

Oral contracts are considered legal and binding but hard to prove if there is a breach of contract. 

Starting A Nurse Staffing Agency Business in Alabama

Contact all necessary agencies that you feel may regulate your business. For Nursing Agencies, one maybe the Department of Health, Secretary of State, and Department of Labor, as well as tax requirements agencies. Do not rely on second hand information. There are forms to be completed that you only the one will know about your business, and usually must be signed by the owners.  Keep at least 6 years of record.

Alabama Department of Revenue

For taxpayer requirements, the Alabama Department of Revenue deals with state taxes requires to operate your business. The Alabama Department of Revenue assist taxpayers may answer all your questions about business taxes. Contact the Internal Revenue Services for tax information. They usually have forms and publications. In most cases, Federal Employers Identification, Federal Income Tax, and Federal Self Employment Tax is required. Determine if your business requires state and local taxes are required.

State, City and County Licensing

State, City, County licensing officials will determine if you need a permit to operate a nursing agency in your area. Generally, all you need is a state license, but in some cases the county license is required.

Business structure

There are several business structures options, and you must determine is most appropriate for your business.  They are partnerships (general, limited, limited liability, llcs,lle, S Corporations. These are business structures terms for business tax and legal purposes.  You can contact the Business and License Tax Division for more info.

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