1 00:00:00,680 --> 00:00:03,680 Speaker 1: Health New Zealand's financial position remains on what would you 2 00:00:03,760 --> 00:00:07,760 Speaker 1: call it life support quarterly performance report out yesterday. It 3 00:00:07,840 --> 00:00:11,840 Speaker 1: showed the financial performance declined significantly in the three months 4 00:00:11,840 --> 00:00:14,960 Speaker 1: to June this year, a one billion dollar deficit for 5 00:00:15,000 --> 00:00:18,239 Speaker 1: the last financial year. The slump came after a two 6 00:00:18,280 --> 00:00:21,560 Speaker 1: hundred and ninety nine million dollar forecasted surplus in the 7 00:00:21,640 --> 00:00:25,080 Speaker 1: previous quarter. What's going on here? Sarah Dalton is the 8 00:00:25,120 --> 00:00:29,440 Speaker 1: Association of Salaried Medical Specialist Executive Director. Sarah good morning. 9 00:00:30,040 --> 00:00:32,640 Speaker 2: Good morning, Ryan, How are you very well? 10 00:00:32,680 --> 00:00:35,720 Speaker 1: Thank you, Nice to have you on the show. This 11 00:00:35,800 --> 00:00:38,280 Speaker 1: is interesting because it says staffing costs are up. There 12 00:00:38,320 --> 00:00:40,720 Speaker 1: are some one off impairments, but staffing costs are up, 13 00:00:41,080 --> 00:00:44,400 Speaker 1: there's outsourcing going on, and yet we're actually starting to 14 00:00:44,440 --> 00:00:47,400 Speaker 1: meet some of these targets. 15 00:00:47,960 --> 00:00:50,599 Speaker 2: Yeah, it's kind of a mixed bag. I think it's 16 00:00:50,640 --> 00:00:54,240 Speaker 2: also really important to note that more than five hundred 17 00:00:54,320 --> 00:00:59,000 Speaker 2: million of that deficit is money that should be in 18 00:00:59,040 --> 00:01:02,360 Speaker 2: there to deal with pay equity settlements that hasn't been 19 00:01:02,400 --> 00:01:06,720 Speaker 2: passed across by CADNET and so, you know, it's a 20 00:01:06,760 --> 00:01:10,760 Speaker 2: little bit of not quite what it seems in there, 21 00:01:10,840 --> 00:01:11,600 Speaker 2: do you know what I mean? 22 00:01:11,640 --> 00:01:12,280 Speaker 1: But trickery. 23 00:01:13,360 --> 00:01:17,680 Speaker 2: Yeah, yeah, that must be really frustrating for the for 24 00:01:17,720 --> 00:01:20,840 Speaker 2: the director. It's all of whom have been told they 25 00:01:20,880 --> 00:01:24,920 Speaker 2: have to make significant cuts to their costs over the 26 00:01:25,000 --> 00:01:27,560 Speaker 2: next financial year to try and deal with you know, 27 00:01:27,600 --> 00:01:30,640 Speaker 2: this problem, this ongoing problem they have balancing their books. 28 00:01:31,760 --> 00:01:35,440 Speaker 2: You know, they're still struggling to deal with holidays discrepancies 29 00:01:35,520 --> 00:01:37,640 Speaker 2: that has been going on for years, and the payroll 30 00:01:37,680 --> 00:01:42,679 Speaker 2: systems are so problematic that it is taking a very 31 00:01:42,680 --> 00:01:44,880 Speaker 2: long time to sort that stuff out. And all of 32 00:01:44,920 --> 00:01:47,240 Speaker 2: there's really you know, secondary to the points you raise 33 00:01:47,280 --> 00:01:50,560 Speaker 2: about actually delivering health care to people who need it. 34 00:01:50,680 --> 00:01:53,639 Speaker 1: I understand that, but I mean, is this not more proof? 35 00:01:53,840 --> 00:01:57,480 Speaker 1: Does this not strengthen the case for for more cuts? 36 00:02:00,080 --> 00:02:03,600 Speaker 2: Well, watch what happens because listening to what we were 37 00:02:03,640 --> 00:02:06,840 Speaker 2: told Marzida meeting with the health unions and to start 38 00:02:06,880 --> 00:02:09,600 Speaker 2: to order just this week where we had presentations from 39 00:02:09,840 --> 00:02:14,600 Speaker 2: Public Health Services, Mariine, Pacific Health Services, Data and digital 40 00:02:15,400 --> 00:02:19,000 Speaker 2: strategy and innovation, they're all going to be dealing with 41 00:02:19,040 --> 00:02:23,360 Speaker 2: significant cuts. Some of that's going to impact staffing levels, 42 00:02:23,600 --> 00:02:25,919 Speaker 2: some of that's going to impact things like the ability 43 00:02:25,960 --> 00:02:29,840 Speaker 2: to roll out digital solutions that will make systems and 44 00:02:29,919 --> 00:02:32,160 Speaker 2: staff more efficient. It will make it easier for them 45 00:02:32,200 --> 00:02:36,600 Speaker 2: to do their jobs, easier to see people quickly. Radiology 46 00:02:36,639 --> 00:02:39,399 Speaker 2: and pathology services, which are the things that patients don't 47 00:02:39,440 --> 00:02:42,320 Speaker 2: often think about, but they are really critical to forming 48 00:02:42,360 --> 00:02:47,160 Speaker 2: diagnoses and setting out treatment pathways. They have heavy reliance 49 00:02:47,639 --> 00:02:52,640 Speaker 2: on data and digital and that's not functioning effectively for them. 50 00:02:52,960 --> 00:02:57,320 Speaker 2: That is going to make inefficiencies and costs down the line. 51 00:02:57,680 --> 00:03:02,840 Speaker 1: So a lot of some troubled waters ahead. But on 52 00:03:02,880 --> 00:03:06,360 Speaker 1: the face of it, these measures, the metrics and non 53 00:03:06,400 --> 00:03:09,440 Speaker 1: financial stuff, you know, the things seem to be it's 54 00:03:09,680 --> 00:03:12,359 Speaker 1: tiny fractions, but it seems to be improving. If you 55 00:03:12,400 --> 00:03:15,880 Speaker 1: look at cancer wait times, emergency department surgeries, etc. Etc. 56 00:03:16,320 --> 00:03:19,640 Speaker 1: Most of those measures seem to be improved slightly, which 57 00:03:19,720 --> 00:03:20,919 Speaker 1: I mean that must be a good thing. 58 00:03:22,040 --> 00:03:24,120 Speaker 2: I don't think the improvements. I'm sorry, I'm going to 59 00:03:24,200 --> 00:03:26,600 Speaker 2: ruin your tea party, but I don't think the improvements 60 00:03:26,600 --> 00:03:30,040 Speaker 2: are significant enough for us to take particular comfort. And 61 00:03:30,080 --> 00:03:33,480 Speaker 2: also what our members tell us and our senior doctors 62 00:03:33,520 --> 00:03:36,160 Speaker 2: indentists out there on the front line and hospitals that 63 00:03:36,800 --> 00:03:40,880 Speaker 2: are are still significant staff and gaps, particularly medicals. So 64 00:03:40,920 --> 00:03:45,000 Speaker 2: we're seeing lots of junior doctor gaps, which means a 65 00:03:45,000 --> 00:03:47,160 Speaker 2: lot of the senior doctors our members are having to 66 00:03:47,160 --> 00:03:49,600 Speaker 2: cover their work as well as their own. It's not 67 00:03:49,640 --> 00:03:52,040 Speaker 2: an efficient way to run our hospitals, and a lot 68 00:03:52,040 --> 00:03:54,760 Speaker 2: of our hospitals are still running out one hundred percent plus. 69 00:03:54,840 --> 00:04:00,000 Speaker 1: So Sarah, you're taking that boastful, bashful press release from 70 00:04:00,040 --> 00:04:02,240 Speaker 1: the minister yesterday and you're ripping it right up, aren't you. 71 00:04:02,400 --> 00:04:03,119 Speaker 1: That's what you're doing. 72 00:04:03,400 --> 00:04:06,680 Speaker 2: Thank you. I was in we Sport over the weekend, 73 00:04:06,760 --> 00:04:09,560 Speaker 2: you know, with a quarter of the population who are 74 00:04:09,960 --> 00:04:14,400 Speaker 2: protesting about proposed cup for Health eccess know and look 75 00:04:14,440 --> 00:04:18,040 Speaker 2: at the need and New Zealanders qure deeply about access 76 00:04:18,040 --> 00:04:18,560 Speaker 2: to health and. 77 00:04:18,560 --> 00:04:21,240 Speaker 1: We need better, all right, Sarah, thanks for your time 78 00:04:21,279 --> 00:04:22,599 Speaker 1: this morning nights to have you on the show. Sara 79 00:04:22,600 --> 00:04:26,320 Speaker 1: Adults in Association of Salaried Medical Specialist Executive Director. For 80 00:04:26,400 --> 00:04:29,960 Speaker 1: more from News Talks B listen live on air or online, 81 00:04:30,120 --> 00:04:32,479 Speaker 1: and keep our shows with you wherever you go with 82 00:04:32,600 --> 00:04:34,560 Speaker 1: our podcast on iHeartRadio.