Ambulance Victoria says “tough decisions” need to be made as cost pressures exceed funding allowance

Victoria’s Opposition chief John Pesutto says whistleblowers have unveiled “savage cuts” to the well being system proposed by the federal government.

According to Mr Pesutto, hospitals throughout the state are bracing for funding cuts which he mentioned may end in job losses and the closure of companies. 

“We know now through whistleblowers that the Allan Labor government is requiring health services to make savage cuts and they have only given them three weeks to do it,” Mr Pesutto mentioned.  

“This will mean job losses, it will mean service cuts right across the board and it will mean Victorian patients will pay the price.”  

Ambulance Victoria can also be grappling with the impacts of cost pressures, in accordance to the Victorian Ambulance Union. 

“The ambulance service and the health system are under enormous pressure and can’t afford to make any cuts to spending,” union secretary Danny Hill mentioned. 

“Even so-called ‘back of house’ cuts to areas like administration or Human Resources has a flow-on effect to frontline services not getting support they need at a time when they need it most.” 

A letter seen by the ABC was despatched to Ambulance Victoria employees on Friday by its chief government Jane Miller.

“Health expenditure is a major cost driver for every government, with increasing demand and the growing cost of healthcare delivery placing enormous pressure on health budgets,” she mentioned within the letter.

“Ambulance Victoria is no exception.” 

She went on to say the federal government would proceed to fund the organisation to ship companies however its prices had grown.

“I need to be very clear that there was no budget cut to Ambulance Victoria in the recent State Budget,” she mentioned. 

“But we are operating well above our budget envelope and this needs to be addressed.” 

She flagged “tough decisions” would need to be made however mentioned senior leaders and cost centre managers would actively be concerned within the course of. 

Government refuses to rule out job cuts

Shadow Minister for Health and Ambulance Services Georgie Crozier criticised potential cuts. 

“They’re asking hospitals to do more with less,” Ms Crozier mentioned.

“Going back to pre-COVID funding levels is a cut.” 

Ms Crozier mentioned the cuts wouldn’t solely have an effect on metro hospitals however impacts would be seen throughout the state. 

“When patients go to a hospital they need to be seen and yet the government is forcing these cuts on our small rural and regional hospitals that will force amalgamations,” she mentioned. 

When requested if some hospitals would be pressured to merge as a results of these budgets, well being minister Mary-Anne Thomas mentioned “no, absolutely not”. 

Ms Thomas wouldn’t, nonetheless, touch upon whether or not or not there would be any job cuts to the sector. 

“Right now my department is in the process of finalising those budgets for the upcoming financial year,” Ms Thomas mentioned. 

“We are in the midst of a process of negotiating with our health services.” 

She mentioned mentioned the negotiation course of passed off yearly and the federal government was investing a further $1.8 billion of funding to well being companies within the subsequent monetary yr.