Key Terms in Australian Medical Contracts

Employment contracts for doctors in Australia vary depending on the sector (public or private), role, and employer. However, most contracts will include the following key terms that you should review carefully before signing:

  • Position and duties: The contract should clearly define your role, specialty area, reporting relationships, and the location(s) where you will be required to work. Be cautious of vague descriptions that could allow the employer to change your duties significantly.
  • Remuneration: This includes your base salary, any allowances (on-call, overtime, rural loading), superannuation contributions, and eligibility for salary packaging. Compare offers against our salary guide to ensure they are competitive.
  • Hours of work: Public hospital contracts typically specify standard hours (often 38--40 per week) plus provisions for overtime, shift work, and on-call. Private contracts may have different arrangements. Understand exactly what is expected.
  • Contract duration: Contracts may be fixed-term (e.g., 12 months, common for registrar and HMO positions) or ongoing (permanent). Fixed-term contracts are standard in public hospitals and are typically renewed annually.
  • Leave entitlements: Australian employment law provides minimum entitlements for annual leave (4 weeks), personal/sick leave (10 days), and long service leave. Some medical contracts offer additional leave for professional development, conference attendance, and exam preparation.
  • Notice period: The required notice period for resignation or termination, typically ranging from 2 weeks to 3 months depending on seniority and contract type.
  • Probation period: Many contracts include a probation period (commonly 3--6 months) during which either party can terminate the contract with shorter notice.

Important Clauses to Watch Out For

Some contract clauses require extra attention, particularly for overseas-trained doctors who may be unfamiliar with Australian employment law:

  • Restraint of trade / non-compete: Some contracts, especially in private general practice, include clauses that prevent you from working within a certain radius of the practice for a specified period after leaving. These clauses are not always enforceable in Australia, but they can create complications. Negotiate the radius and duration down if possible.
  • Visa-linked termination: If your employment is tied to a sponsored visa (such as the subclass 482), your contract may include a clause allowing termination if your visa is cancelled or not renewed. Understand the implications for your immigration status.
  • Relocation repayment: Employers who provide relocation assistance may require you to repay some or all of the costs if you leave within a specified period (often 12--24 months). Check the repayment schedule and conditions carefully.
  • Indemnity and insurance: Confirm whether the employer provides medical indemnity insurance or whether you are required to arrange your own. Public hospital doctors are typically covered by their state health service, while private practitioners usually need their own policy.
  • Billing arrangements (private practice): If working in private practice as a GP, the contract should specify your billing model (percentage of billings, service fees, guaranteed minimum) and how Medicare rebates, gap payments, and practice costs are handled.

Negotiation Tips for Overseas Doctors

Many overseas doctors accept the first contract offered without negotiation, but there is usually room to discuss terms, particularly in areas with high demand for doctors. Here are some practical tips:

  • Research market rates: Use our salary guide and speak with colleagues or recruiters to understand what is standard for your role and location.
  • Negotiate the full package: If the employer cannot increase the base salary, consider negotiating for additional benefits such as professional development funding, relocation assistance, accommodation support, or a sign-on bonus.
  • Clarify visa support: If you need visa sponsorship, confirm in writing that the employer will sponsor your visa and cover associated costs (legal fees, nomination fees). Understand what happens to your employment if your visa application is delayed or refused.
  • Review the contract with a professional: Consider having your contract reviewed by a medical employment lawyer or your medical defence organisation. The cost of a contract review is small compared to the potential consequences of unfavourable terms.
  • Do not rush: Legitimate employers will give you reasonable time to review a contract. If you are being pressured to sign immediately, treat this as a warning sign.

Public vs Private Contract Differences

Contracts in the public and private sectors differ in several important ways:

  • Public contracts are typically governed by state-based enterprise agreements or awards that set minimum pay rates, conditions, and entitlements. This provides a level of standardisation and protection, but leaves less room for individual negotiation.
  • Private contracts are individually negotiated and can vary widely. They may offer higher pay but with fewer guaranteed protections. Pay particular attention to non-compete clauses, billing structures, and insurance arrangements.

For a full comparison of the two sectors, read our public vs private practice guide.

If you are still in the job search phase, our how to get a job guide covers finding positions and preparing your application. For a complete overview of working in Australia, visit our Work as a Doctor in Australia page.

Important Planning Note

This page is designed as practical guidance for overseas doctors and should be used alongside official requirements published by AHPRA, the AMC, relevant specialist colleges, and the Department of Home Affairs.

Rules, fees, and processing times can change. Before lodging any application, verify current criteria directly with official sources listed on our Resources page.