HSE to reduce overtime in a bid to address money crisis

Date Published: {J}

By Darragh McDonagh

Galway University Hospitals (GUH) are facing cutbacks in areas such as overtime, locum cover and staff training as part of a sweeping plan to bridge an anticipated €25m budget deficit this year.

The measures are set to have a devastating impact on patient care at the city’s public hospitals, University Hospital Galway and Merlin Park, according to the Chairman of the HSE Regional Health Forum West.

The cost-saving plan devised by senior HSE management this week also involves diverting patients away from the hospital system by promoting “diet, exercise, non-smoking, less drinking, safety at work and driving more slowly”.

The HSE has insisted that the measures have been designed to minimise any direct impact on services for patients, but Chairman of the Regional Health Forum, Cllr Padraig Conneely has warned that patient care at the hospitals is set to suffer.

“Obviously, any cutbacks made at the hospitals are going to have an affect on patient care and it has been proven in the past that similar cuts have had a drastic impact on services,” he said.

“The recent HealthStat report highlighted the serious problems at the UHG in the area of patient care and they will only worsen if these cost-saving measures are implemented as planned.”

Correspondence from the Assistant National Director of Finance of the HSE seen by The Sentinel revealed the range of initiatives and cost-containment measures in line for implementation at the Galway hospitals.

These will include pay cost reductions in overtime, on-call allowances, weekend payments, locum cover and holiday service schedules.

Other proposed cost reductions are in the area of staff training, maintenance and the replacement of existing equipment. The HSE is also counting on price reductions from suppliers on generic drugs.

The budget for UHG and Merlin Park Hospital this year has been slashed from €290m to €248m. The hospital group overran its budget in 2009 by €11m, actually spending €301m.

Taking account of reduced salaries as a result of negotiated pay cuts and lower energy bills, the HSE estimates that it can achieve savings of €14.5m.

For more, read this week’s Connacht Sentinel.