The closure of 25 beds by Our Lady's Hospital for Sick Children in Crumlin, Dublin, was criticised yesterday by the Minister for Health, Mr Martin, as a "disproportionate response" to the hospital's problems.
The Minister said he did not think closing 25 beds was "the most efficient way to save money". He understood that the closures would only save about €800,000, which led him to believe the effect was disproportionate to the action.
There were angry exchanges at the joint Oireachtas Committee on Health and Children when Mr Martin made his remarks.
Labour's health spokeswoman Ms Liz McManus asked him what the hospital should have done in the face of its financial crisis.
Mr Martin said there were "a whole range of other ways" to save money, including cutting staff overtime. "We are working with the Eastern Regional Health Authority and the hospital on all these issues," he said.
Last night, the hospital defended its decision, and said it could not continue existing levels of service for the remainder of the year and come within budget.