Management retention contracts in health care affiliations.
This article traces the history and development of management retention contracts in health care, outlines the principal provisions contained in a management retention contract, and provides answers to frequently asked questions. The key advantage of management retention agreements is that they allow executives to be more dispassionate in their business decisions and remove psychological barriers to accepting a new arrangement, because their career concerns are addressed. At a time when hospitals are exploring significant affiliation, merger, or sale possibilities, these arrangements establish a method of ensuring that senior executives do not seek other employment or leave the hospital during the critical phases of corporate negotiation and preclosing.
Leroux
C G
CG
Principal in Howley & Leroux Health Services, Cleveland, Ohio, USA.
D002322:Career Mobility; D003284:Contract Services / Q000458:organization & administration*; D006273:Health Facility Merger; D006740:Hospital Administrators / Q000523:psychology / Q000600:supply & distribution*; D006754:Hospital Restructuring; D006801:Humans; D009935:Organizational Affiliation; D010563:Personnel Turnover; D014478:Unemployment