Page 68 - Week 01 - Tuesday, 13 February 1990
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refinement of administrative staffing arrangements across the board.
Reviews have now been completed to determine a sound financial base for both the Royal Canberra and Woden Valley Hospitals. My colleague Mr Humphries believes that this base will provide a high level of services while ensuring that the discipline of a fixed operating budget is observed. A proposal is being prepared for the commercial operation of the Health Service Supply Centre, including the linen service, for 1990. The proposal will examine the option of setting up this service as an independent Government business enterprise to increase production, provide expanded employer opportunities and improve productivity and efficiency.
The Government will move quickly to examine the establishment of a pathology laboratory as an independent institute operating commercially along the line of the successful Institute of Medical and Veterinary Science at the Royal Adelaide Hospital.
My colleague Mr Humphries last month had the opportunity to travel to Sydney to meet with the New South Wales Health Minister, senior health officials and officers and board members of the southern Sydney area health service. As he reported to his colleagues, Mr Humphries was extremely impressed by the fact that during 1989-90 the New South Wales health boards collectively achieved an operating deficit representing only 0.065 per cent of the annual budget. This overrun represented the amount of expenditure required to operate the New South Wales health system for about a quarter of a day. This result was also achieved during the period that productivity savings of 1.5 per cent were imposed and global budgeting was introduced for the first time. At the same time, the hospitals delivered a first-class service. My colleague can see no reason why the ACT should not perform to a similar standard of efficiency while maintaining its already high quality of service. I am sure all members of the Government endorse that aspiration.
On coming to office, I discovered that the hospital budget did indeed face a $7m blowout. I then moved quickly - my colleague then moved quickly - to address the problem and announced a number of measures in December which are designed to produce lasting efficiencies. These measures include: taking immediate steps to identify measures to substantially improve efficiency and productivity in food services at both Royal Canberra and Woden Valley Hospitals; engaging consultants to assess the options for major modernisation in food services, including the possibility of contracting out the service and moving to a single service for both hospitals; greater efficiencies in administrative areas; examining rostering arrangements for junior medical staff and certain categories of health professionals who are rostered over 24 hours seven days a week with the intention of improving cost efficiency.
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