Store Procedure in SQL??

Can you take a look at this and see if this is correct?

Say I have two tables like this:

People(pid,name,eid) pid is PK, auto increment
Employee(eid,type) pid is pk, auto increment

Store Procedure for creating new employee:

CREATE PROCEDURE [dbo].[CreateNewEmployee]
@name varchar(255),
@type varchar(10),
@NewID int OUT

AS
declare @tmpid int
INSERT INTO Employee(type)VALUES(@type)
SET @tmpid = SCOPE_IDENTITY()
GO

INSERT INTO People(name,eid)VALUES(@name,@tmpid)
SET @NewID = SCOPE_IDENTITY()
Go


IS this correct??