HSE considers redundancy scheme for middle managers

THE HEALTH Service Executive is considering a redundancy scheme for hundreds of staff but needs funding approval from Government…

THE HEALTH Service Executive is considering a redundancy scheme for hundreds of staff but needs funding approval from Government before it can proceed.

It is understood the matter was discussed by HSE chief executive Prof Brendan Drumm with Minister for Health Mary Harney.

Ms Harney told the Dáil last week that the HSE should adopt "a bold and innovative" redundancy programme. She said packages should have been offered when the HSE was first formed, following the amalgamation of the 11 health boards into one organisation.

In December 2004 just days before the HSE came into being, a last-minute deal with the Impact trade union - which was engaged in industrial action - meant all administrators and management grades in the old health boards got guarantees they had jobs for life under the new health service structures.

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A review of administrative posts in the HSE was announced last May by Prof Drumm, following mounting criticism that the health service had too many administrators and not enough frontline staff.

The review, being carried out by independent consultants, is assessing the level of clerical, administrative and managerial staff in the HSE against international standards. An update on the review was presented to a meeting of the HSE board last Thursday.

Asked if a redundancy programme would be put in place following the independent review, a HSE spokesman said yesterday he could not pre-empt its findings. He added that the review would not be completed for a number of weeks yet. To date it has established there are many more administrators and managers in some regions than others, an overhang from the old health board system.

The Sunday Times reported yesterday that the redundancy scheme was being prepared for up to 1,000 administrators and middle managers and would cost about €75 million but that it would save the HSE €50 million a year in salaries in the long run.

Kevin Callinan, national secretary of the health and welfare division of Impact, said his union would not be opposed in principle to a voluntary redundancy scheme, adding: "We would want to be convinced it's in the interests of the service and the taxpayer."

He said a process was already in place to allow individuals to exit the HSE but sanction for such exits was being blocked by the Government. Some 130,000 people work for the HSE in the equivalent of 111,000 full-time posts.