QLD:Qld hospitals fear funding will be bungled

AAP General News (Australia)
08-03-2011
QLD:Qld hospitals fear funding will be bungled

By Petrina Berry

BRISBANE, Aug 3 AAP - Queensland Health workers are concerned hospital funds will be
bungled like the payroll system under a new and untested plan, unions say.

Under Prime Minister Julia Gillard's national health reforms, hospitals will be funded
for each activity performed, known as activity-based funding, as opposed to receiving
block grants.

How much funding each activity is allocated will depend on a "national efficient price"

set by an independent pricing authority.

But health workers argue it's not possible to set a standard national price as the
cost and need for health services vary in each state and territory.

They are also concerned the government is hastily introducing an untested system which
could be as disastrous as Queensland Health's payroll debacle.

Thousands of Queensland Health staff across the state were underpaid, overpaid or not
paid at all when the new payroll system was introduced last year.

Queensland Nurses Union (QNU) secretary Beth Mohle said it's important the federal
and Queensland governments roll out the hospital funding changes carefully.

"It has to be appropriately planned and all the risks have to be addressed, which is
what didn't happen in the payroll disaster," Ms Mohle said.

"We are concerned about what goes into making a national efficient price because there
are inconsistencies across the country.

"The policy framework hasn't even been finalised. There's a lot of work to be done."

Australian Medical Association Queensland president Dr Richard Kidd said there's been
no indications from the government that the system would be tested on a few sites first.

"A private business would introduce a new system by testing it on a few before the
entire organisation makes the switch," Dr Kidd told AAP.

"They would also run the new system parallel with the old in case there are problems.

"There has been no indications the federal government will be doing this.

"They're going to switch from one system to the other without any verification in which
case will be an absolute disaster like the payroll system."

Queensland Health says it's moving towards activity-based funding, which is due to
be implemented by July 1 next year.

AAP peb/tnf/jnb

KEYWORD: HOSPITALS QLD

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