HSE directs cost cuts at non-consultant doctors

THE HEALTH Service Executive (HSE) is set to withdraw millions of euro in allowances and payments to non-consultant hospital …

THE HEALTH Service Executive (HSE) is set to withdraw millions of euro in allowances and payments to non-consultant hospital doctors with immediate effect in a move which could lead to industrial action in hospitals.

It is understood the HSE will announce the move today and will argue the Irish Medical Organisation (IMO), which represents the doctors, was not prepared to go to the Labour Court on the issue of cost-cutting proposals.

Informed sources said the HSE would maintain that the IMO had previously agreed to go to the Labour Court on outstanding issues arising from talks on cost-containment plans held at the Labour Relations Commission over recent days. A spokeswoman for the IMO said yesterday that it was still engaged in the Labour Relations Commission process.

A total of 99 per cent of non-consultant hospital doctors have voted for industrial action up to and including strike action if the HSE moved to introduce changes unilaterally.

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It is understood that the HSE plans to cease paying a living-out allowance to non-consultant hospital doctors and to end an arrangement for a paid one-hour lunch break.

Informed sources said the HSE would maintain that the paid lunch break cost the organisation €25 million annually and that no other worker in the health sector received such a benefit.

Informed sources said the living-out allowance cost the HSE €13 million annually.

The HSE is also to carry out a review of about €4,000 paid to non-consultant doctors in training grants. In a statement issued last month on the release of its ballot results, the IMO said that it had continuously expressed its willingness “to constructively engage with the HSE on non-core contractual elements with a view to cost-containment measures”.

However, it said that the burden of cost-containment would have to be equally and transparently shared among all healthcare workers and their unions.

“We cannot and will not accept discussion or consideration of breaches to NCHD core contractual entitlements under the heading of cost-containment. The overwhelming vote in favour of industrial action demonstrates the level of anger amongst our NCHD members,” IMO vice president Dr John Morris stated.

The proposed moves to curtail payments and allowances to non-consultant hospital doctors are likely to be followed by significant cutbacks in other areas in the weeks ahead.

The board of the HSE is to meet tomorrow to consider plans by management on how a projected €1.2 billion shortfall in funding this year will be addressed.

The options under consideration centre on reducing allowances and non-core payments to tens of thousands of staff in the organisation or scaling back services.

It has been reported that the closure of some smaller hospitals may be examined.

Another option would be for the HSE to seek additional funding from the exchequer to cover the growing costs of providing medical cards and other services to the tens of thousands of people who have lost their jobs over recent months.