You know, I was chasing this white rabbit the other day, and he went in this hole, and... 😉
Folks in non-psychiatric fields moonlight a LOT less than we do (for lots of good reasons), and even the very good program at my medical school allowed very little moonlighting (at least, there wasn't much available that didn't involve a long drive, and even then, not much). There have been people at my program who have seriously pushed the limits of what they should be able to do and almost ruined it for the rest of us by being idiots. So when I say it's a privilege, I'm talking to the people who were moonlighting 50-60 hours a week despite being given multiple warnings and violating duty hours left and right.
You're out of your depth.
Its a right, not a "privilege" or whatever that means because a program or PD can't take away from a person, who has passed step 3 and received an unrestricted medical license in their state, what wasn't theres to give in the first place. They have no ownership of that "privilege" to give and not give to whom they like.
A PD can choose not to recommend a pgy2-4 if the moonlighting employer asks for it and the home institution doesn't cover malpractice, which is already stipulated for programs that allow moonlighting. But that can be purchased by the outside employer or individual.
For any physician or even dentist, once they are granted a medical license any and all contracts with an employer that have "no competition clauses" or "no outside employment" is just words. Lots of cases were tried but they are now recognized as unprosecutable let alone winnable in a court because your medical license is not anyones else's to control. Thats why its called unrestricted. And we are talking about working poor residents in a life time of debt (fraudulent as well) so theirs not even money to go after for a breach of contract, although it would not be held up in court anyway.
A PD also "could" make that residents last couple of years crap if they wanted, but thats retaliation and harassment which puts them and their institution as liable parties in court. Huge sums of money come out of workplace behavior like that, which is unprofessional in any and all settings of employment, in court or settlements.
And if a one year contract isn't renewed than it needs to be justified that this resident did not fulfill their duties, not because of some made up PD power trip. As long as they stick to 80 and take care of onces expected of others in their class its hard to prove.
But in the end, does a PD want to lose a good resident or at least a competent one? thats more work for them and everyone else as well as bad reputation for the program. As well as lost revenue because every and all residents earn their wages and then some by the end of residency through increased hospital production.
Everyone should realize that ACGME money really never ends up funding their wages or education, its just bookkeeping and a way for the fed to flex over states cause it comes from their end of taxes. Do the math for yourself and figure what it would cost to replace you with a mixture of attendings and midlevels to cover your clinical production, teaching juniors, and knowledge base averaged over your PGY years plus med school.
So no one really needs anyone else sticking another thorn in the side of well meaning residents with threats or imaginative gifts of "privileges" that have no legal basis. Its more like fraud and harassment which doesnt increase productivity or learning
And I'm not arguing for those few bad apples who work 60 hours moonlighting that you are referring to and violating the 80 hr rule or who are grossly incompetent cause they only put 20 hours of clinical education outside moonlighting snooze gig. Dont generalize people like that.