Hospital used special payment to pay staff

BEAUMONT Hospital was forced to request a special payment from the Eastern Regional Health Authority in April this year to pay its staff, according to a report in Medicine Weekly.

A finance report from its CEO, said the cash situation at the end of April was 'very serious' and the hospital would have been unable to meet its monthly salaries bill 'but for a special payment from the ERHA for the purpose'.

The internal documentation, seen by Medicine Weekly, also stated that Beaumont would require similar support in May and June.

At the end of April the hospital's 'book overdraft' was €11.8 million and cheques outstanding came to €9.5 million which gave an unauthorised overdraft at the bank of €2.2 million.

According to the report by CEO John Lamont, the most recent forecast indicated that additional funding of €4.5 million in May and €6 million in June would be required.

Mr Lamont added that current cash funding was insufficient to meet monthly outgoings.

A spokesperson for the ERHA said issues arose from time to time in terms of timing of payments, and in such instances the authority would accelerate cash to an agency, which is what happened in this instance.

Meanwhile, another report in Medicine Weekly claims Tallaght Hospital is anticipating a deficit for this year of over €13 million.

Management has introduced a cost containment programme including changes in day ward profile and restrictions on travel expenses and overtime.

Management has also stated its plans to reduce activity in the day ward services.