HSE rejects 100 applications by hospitals for extra payments

New review to be carried out on payments in disability sector

The National Maternity Hospital at Holles Street: unsuccessfully applied for apparoval to pay  an externally-funded allowance  to the secretary manager. Photograph: Bryan O’Brien/The Irish Times
The National Maternity Hospital at Holles Street: unsuccessfully applied for apparoval to pay an externally-funded allowance to the secretary manager. Photograph: Bryan O’Brien/The Irish Times

The HSE has rejected around 100 applications from voluntary hospitals and health agencies to continue making top-up payments to senior staff in addition to salaries.

A report drawn up by the health authority and given to the Dail Public Accounts Committee today (MON) shows that the HSE is also proposing that there should be a further review and "sizing exercise" in relation to payments made to senior personnel in the disability sector.

As reported in The Irish Times last week the HSE has rejected applications by voluntary hospitals to continue paying additional allowances to senior doctors on their staff.

The Irish Times revealed last September that an internal audit carried out by the HSE had found that senior personnel in voluntary hospitals and agencies -- known as section 38 organisations -- were receiving more than €3.2 million in allowances and benefits on top of official salary rates.

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The top-up revelations led directly to the scandal surrounding payments made to senior personnel in the Central Remedial Clinic, and ultimately to the controversy over Rehab.

Section 38 organisations receive their funding directly from the State and their employees are considered to be public servants.

Following on from the revelations, the HSE invited these organisations concerned to submit business cases if they wished to continue making these additional payments.

In most cases the HSE has now rejected these applications for the payments to be retained.

The new report submitted by the HSE to the Public Accounts Committee shows the existence of a number of additional top-up payments that were not set out in the original audit last year.

Among the business cases for additional payments rejected by the HSE were for a €33,250 allowance paid to the deputy chief executive of Tallaght Hospital, a €39,000 externally-funded allowance paid to the secretary manager of the National Maternity Hospital, Holles St, a €20,000 allowance paid to the Master of the Rotunda Hospital, a travel allowance of just under €9,000 paid to the chief executive of St James's Hospital.

The HSE has rejected a business case put forward by Our Lady’s Hospital in Crumlin to continue paying a €30,000 allowance to its chief executive to bring his pay into line with that of top management in adult voluntary teaching hospitals in Dublin.

The Irish Times reported last year that this allowance had been funded from proceeds from shops on the campus.

The HSE said that a payment of €20,000 being received by the chief executive of Beaumont Hospital for lecturing in the Royal College of Surgeons in Ireland required Department of Health approval as it could contravene the one-person-one salary principle in the public service.

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent