‘Rank outsider’ nets top job at HSE

THE HSE has appointed a rank outsider to replace Prof Brendan Drumm as head of the health service — and has given him a salary almost €100,000 higher than planned.

‘Rank outsider’ nets top  job at HSE

In a shock move, the HSE has confirmed that Cathal Magee will lead Ireland’s health service reform over a five-year tenure from mid-autumn. The former chief executive of Eircom, who is currently a non-executive shareholder with stricken insurance firm VHI and EBS building society, has not worked in the health service for over two decades.

However, over the next five years he will receive an annual no-bonus salary of €322,000 — the equivalent of €1.6 million between now and 2015 and almost €100,000 more than the €228,466 outlined by Health Minister Mary Harney and the HSE board.

The HSE has welcomed the move, with board chairman Liam Downey insisting Mr Magee has shown an “extensive record of implementing change and performance improvement”.

However, the incoming head of the health service was considered such a rank-outsider for the post that he failed to be placed on any public short lists.

These were thrown into turmoil when the most likely favourite, former cancer control programme chief Prof Tom Keane, pulled out of the running in March.

Reacting to the surprise appointment of the 56-year-old, Irish Patients Association chairman Stephen McMahon said the unknown quality of the new HSE chief executive underlined the dearth of options.

“You can only select from the pool you have attracted. and obviously as a patient advocate I’m hoping appointing such an outsider might have some value.

“Time will tell whether, under his leadership, the necessary culture of commitment to putting patients at the centre of the health system is achieved.

“But if he managed to increase his salary by €100,000, at least we know he’s a good negotiator.”

As part of his HSE contract, Mr Magee will not receive any performance-related bonuses.

The issue has led to repeated criticism against Prof Drumm, who in addition to his lucrative salary was given a massive €112,500 in HSE Board-awarded bonuses between 2006 and 2007, a time when the health service faced some of its worst national crises.

However, despite the move, Fine Gael health spokesperson Dr James Reilly said it was deeply worrying that such a huge increase in Mr Magee’s expected salary was allowed despite the express recommendation of the review body on higher remuneration in the public service.

“I find that really odd. He is being paid €100,000 more than the Taoiseach at a time when we have been told no new public servant will be paid more than the Taoiseach.

“There are two things to this. If he succeeds in turning around the health service, in preventing two-thirds of Dublin’s ambulance fleet being stuck outside the Mater or Beaumont, to end emergency department trolley waits, then it is money well spent.

“But if he doesn’t do that, well, he clearly won’t be worth the salary he’s being given,” he warned.

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