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HSU Welcomes Labor's Plan To Boost Hospital Spending

15 July 2004

The Labor Party's plan to increase spending on public hospitals and streamline the delivery of services has been welcomed by the Health Services Union.

Labor leader Mark Latham today signed an agreement with all the state and territory Labor leaders which includes a plan to improve cooperation between different levels of government in health and education.

Among its key points is a commitment by Labor to axe the Commonwealth and State agreements which deliver public hospital funding.

They will be replaced by new Medicare Partnership Agreements to cover public hospitals from July 2006.

Those agreements will deliver to public hospitals the money saved by ending waste and duplication which is estimated to cost between $1 and $2 billion a year.

The savings will be identified by a National Health Reform Commission which will have a year-long job of finding ways to improve and streamline the delivery of health services to all Australians.

HSU National Secretary Craig Thomson said the agreement today was the first step towards ending the waste and duplication in health and providing better funding to public hospitals.

"Everyone agrees that the current arrangements where the federal government has some responsibilities in health and the states others is just not working," he said.

"It is a recipe for cost-shifting and buck-passing that is limiting the money that can be spent on frontline services.

"The HSU has been calling for reform in this area and it is now up to the Howard government to announce what it will do to improve services and boost funding delivered to public hospitals."

Under the Labor plan the Health Reform Commission will also provide recommendations on how to address workforce shortages, particularly in the allied health area, as part of a co-ordinated plan.

States and territories will also encourage the integrated delivery of health services at regional levels so that GPs, specialists, hospitals, aged care and other health services can work together locally to deliver better services.



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Health Services Union of Australia
hsu@hsu.net.au


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