Cost query on Coalition plan for hospital boards
The cost of paying members of the 750 hospital boards proposed by the Coalition could cost up to $1.2billion over five years – equivalent to the cost of 90,000 hip replacements -on top of the cost of running the hospitals, according to the ALP.
The coalition has promised to appoint hospital boards, but has made different suggestions about payment for members, ranging from no pay to $10,000 to each member.
The $1.2 billion ALP estimate is based on the current pay rates for Victorian public hospital boards which differ from region to region, and pay extra to hospital chairmen or presidents.
The cost of paying $10,000 would be a cost per hospital board of $100,000 per year, or $75 million per year for approximately 750 public hospitals around Australia.
Over the five years of the next Australian Health Care Agreements, this would cost the Commonwealth Government $375 million, or almost 30,000 hip replacements.
The Royal Melbourne Hospital chair, Robert Doyle , who is a former State Liberal Opposition leader, said he wouldn’t act on a hospital board for free – after Minister for Health, Mr Tony Abbott, said this was his plan.