St Vincent’s group considers plans for chief executive to be paid fully from private sector

Board to seek assurances from HSE on operation of its private hospital


The board of the St Vincent's Healthcare Group is understood to be considering revised management structures which involve its chief executive being paid exclusively from private sources in future.

Another senior executive, who would be paid in line with public service remuneration rules, would run St Vincent’s public hospital on a day-to-day basis.

However, it is understood the board will seek assurances from the HSE as part of any deal regarding its continued independence, particularly in relation to the operation of its private hospital.

One key issue for the group is likely to be a continuation of its current interpretation of the consultants’ contract under which a number of senior doctors working in the public hospital can also work in the private hospital although they are not allowed to work in other private institutions.

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The St Vincent's Healthcare Group is composed of two public hospitals – St Vincent's University Hospital, Elm Park and St Michael's in Dún Laoghaire – as well as St Vincent's Private Hospital.

Public pay policy
The board of the group met yesterday to consider proposals regarding compliance with public service pay policy for its senior executives following a meeting between its chairman Noel Whelan and deputy chairman Stewart Harrington with top HSE management on Thursday.

The HSE had sought the meeting after St Vincent's Healthcare Group disclosed just before Christmas that its chief executive, Nicholas Jermyn, was receiving a package of more than €292,000 a year.

It said this was made up of €136,282 from the public sector and €136,951 from the private sector as well as a privately funded car allowance of €19,796.


Payment
The group's director of finance, Cormac Maloney, earned €140,876, including a privately funded payment of €32,544. Director of nursing Mary Duff received €96,405, including a privately funded payment of €14,853.

The group said three other, unidentified, individuals were also receiving additional remuneration. It said it could fund this through its private income from the operation of St Vincent’s Private Hospital.

Prior to this statement the group had refused to provide full details of its executive remuneration levels.

It is understood the HSE urged the group to agree to bring executive remuneration into line with public service pay policy in advance of a scheduled appearance before the Dáil Public Accounts Committee next Thursday.

Proposals at Thursday’s meeting included the group chief executive being paid exclusively from private sources, reductions in payments or privately sourced payments being bought out in some cases.

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent