MINISTER FOR Health Mary Harney has warned that the scale of cuts in the health budget next year will be “substantial” and will have a serious consequences for health services. She said the Health Service Executive (HSE) would be putting a “strong focus” on changes in work practices, particularly for hospitals.
The Minister would not confirm estimates in the region of €600 million for the December budget, following cuts this year of €1 billion. “I can’t speculate on the scale of the figures because that it is not agreed but it will be substantial.”
But further cuts are already expected this year after trade unions warned that the HSE is proposing to cut hundreds of temporary employment contracts in the midwest in a bid to tackle its €35 million financial deficit.
The Impact union said up to 300 temporary employment contracts could go while Siptu said 400 job cuts were being flagged across the broader western region. Impact official Andy Pike warned the HSE yesterday that if it proceeded with ending contracts “we would be in a serious industrial dispute very quickly”. Siptu health organiser Paul Bell said the proposals flew in the face of the Croke Park agreement. The unions have referred the issue to the Labour Relations Commission.
The executive said it had informed staff representatives in the midwest it would be examining temporary work contracts. It said “ there are no indications of staff numbers that will be affected”.
It also proposes closing a ward at the Mid-Western Regional Hospital in Limerick and changing another from seven to five-day working. A ward and a theatre are also to be closed at the regional orthopaedic hospital while 25 in-patient beds at Ennis and Nenagh hospitals are to be shut.
Earlier, Ms Harney told reporters at the publication of the final report of the Crisis Pregnancy Agency that health accounts for about 27 per cent or 28 per cent of spending. She said the health cut requirement in the €3 billion “will have serious consequences for the health system.”
She added that they would look at “every possible way of minimising the impact on services”. A strong focus for the HSE “will have to be on changing work practices, more day surgeries for example. We still have very low levels of same day admissions for surgery.”
In a separate development Fine Gael has rejected as “absolutely spurious” and “mischievous”, claims by Ms Harney that the party’s proposals for universal health insurance would cost insurance companies €7 billion.
Ms Harney said she had prepared a memo for Government on the proposal, and Irish insurers would have to increase their reserve fund to 40 per cent to cover costs of some €17 billion.
Fine Gael health spokesman Dr James Reilly said that last year €9 billion was spent on primary and secondary healthcare and the figure was suddenly jumping to €17 billion. Ireland’s requirement for a reserve fund is 40 per cent, but the Dutch system on which much of Fine Gael’s proposal is based, has a derogation to 9 per cent, he said.