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What is appropriate pay for a new grad?

Discussion in 'Practice Management' started by i-pod-iatry, Jul 5, 2012.

  1. i-pod-iatry

    i-pod-iatry Member


    Members do not see these Ads. Sign Up.
    I am considering employing a new grad for 1 or 2 days. I have not employed anyone since 2004, at which time the deal was 40% of fees generated. No superannuation, holiday pay etc.

    If I was to offer this nowadays would I still be in the ball park or has the landscape shifted somewhat.

    My clinic is located in metropolitan Perth.
     
  2. MarkC78

    MarkC78 Active Member

    Well you will have to pay super now, so make sure you factor that into your rate.

    http://www.ato.gov.au/businesses/content.aspx?doc=/content/19159.htm

    I have always taken the approach of finding the right person and then discussing with them how they want to construct their package (Salary vs Commission). None of them have chosen the percentage model yet and overall I have been very happy with there performance paying them a fair salary and bonuses.
     
  3. Damian Gough

    Damian Gough Member

    Have a look at the Fair Work Australia website which details the National Employment Standards which are now the legal minimum in pay and conditions which you must provide as an employer.
    As far as I can tell the days of paying somebody a simple percentage of fees charged are long gone.
    In order to safeguard your business and personal assets you would be advised to consider the guidelines provided by Fair Work Australia, the ATO, your local workers compensation body (workcover here in NSW). They have websites with all the relevant info. Your local Podiatry Association may also have contract templates and other relevant advice.
    As an employer it sometimes helps to consider the worst case scenario in relation to employees, and then review all your insurance, contracts, policies and procedures.
    Consider the following....
    Your employee who is 7 months pregnant runs over one of your patients in the practice car park, after just making a complaint to the Fair Work Ombudsman because you refused to provide paid maternity leave. She sustains a head injury as her car crashes into your building and damages the electrical supply, starting a small fire.

    I could go on, but you get the idea. As the employer and business owner you are responsible and liable for all of the above, and even if you are not, you may have to prove it in court.

    Having said all this, I employ five podiatrists who are paid under the Health Professionals and Support Services Award. They are paid an hourly rate plus a commission, superannuation, and I pay workers compensation insurance.
    Some new grads have very high expectations when it comes to pay and conditions. Compare what you are offering with rates of pay for other allied health professions, nurses and junior doctors.
    podiatrists are relatively very well paid.
    Employing a new grad be prepared to spend a lot of time with them easing them in to your practice. I have made the mistake of overestimating people's capabilities more than once.
    I'm sure you will both learn a lot, and that it will be a mutually beneficial relationship.

    Damian
     
  4. antipodean

    antipodean Active Member

    New grads are rarely only fixated on salary alone. What will employment with you offer as far as skill development, casemix etc. If lots, then benchmarking against public sector award rates is a good way to go. If they are going to be only doing general treatment patients at three an hour with limited support then you should go well over and above the pay scales of public sector employment.
     
  5. Mark Dave Smith

    Mark Dave Smith Active Member

    Does such a thing exist over her in NZ?
     
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