No psychiatrist locum contracts have exceeded the $3050 per day limit, according to NSW health secretary Susan Pearce. But the costs for VMOs are less clear.
NSW heath minister Ryan Park was called on to provide proof that Visiting Medical Officers contracts were costing less than a 25% pay increase for psychiatrists.
“We’re paying more than [the Liberal party] ever paid under a wages cap, that’s what I can say,” said Mr Park at today’s NSW budget estimates hearing.
According to NSW Health deputy secretary for people, culture and governance Phil Minns, 72 psychiatrists had sought leave without pay to convert to temporary VMO contract arrangements, most of whom were expected to be working.
The contracts were typically six months, he said.
“The only comment I can make with respect to why people might be doing that is that they’re prepared to await the outcome of the Industrial Relations Committee process.
“Hearings will commence on 17 March.”
He was unable to outline how much the VMOs were being paid.
When asked why a doctor being paid VMO wages would return as a staff specialist, Mr Park said he needed to provide “important context”.
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“VMOs cost less than the 25% pay increase the psychiatrists are asking for,” said Mr Park.
Mr Park was asked to produce the analysis to back up his statement on notice.
In terms of locum costs, in 2022-23 NSW Health spent $37 million on commission fees paid to locum agencies for the placement of temporary doctors, up 20 million from the previous year.
Mr Park was unable to provide the cost for 2023-24 or the cost of locum employment resulting from the mass resignations of staff specialist psychiatrists.
The state government has committed $6.3 million to examine the feasibility of a NSW locum agency.
As the numbers stand, 35 psychiatrists have withdrawn their resignations and 113 have pushed back their resignation date.
A total of 54 have resigned, three resignations are being processed and two are still within their local health district, meaning their employment remains under discussion.
The total FTE value of those separations will be 34.
Out of the 58 psychiatrists screened to be employed as locums, only 24 are currently being deployed.
According to NSW health secretary Susan Pearce, no locum contracts had exceeded the $3050 per day limit.
“The reason we set that rate … we did certainly not want a situation where we were being price gouged on this issue by locum agencies or anyone else,” she said.
“At the start of this process … we were starting to hear rates being quoted of closer to $8000 a day.
“Clearly, we needed to intercept that and put a process in place to prevent any such thing occurring.”
Ms Pearce said that “a very small number” of locums had been deployed “in the grand scheme of things”.
