Healthscope, one of Australia’s largest private hospital operators, is making remediation payments after estimating it underpaid staff by $21.7 million.
One of Australia’s largest private hospital operators underpaid staff by an estimated $21.7 million after hundreds of disability service workers were incorrectly paid and some nurses may not have received their full entitlements.
These involved historical underpayments of 500 current and former staff at Healthscope Independence Services – a disability support service based in Victoria – and accrual of annual leave for nurses in NSW hospitals. “In both these instances we have advised the impacted staff, and have taken steps to resolve the issues as quickly as possible,” the company’s spokesperson said.The underpayments come at a time when the $22 billion private hospital sector is in financial crisis, due to soaring costs and wages and decreasing patient numbers since the pandemic.Healthscope posted a loss of $648.
“Healthscope has engaged PwC to assist with the identification of employees affected and to calculate the remediation payments for individuals.” Healthscope said the other issue involved the accrual of annual leave for nurses in its NSW hospitals and had arisen as a result of complex clauses in the relevant enterprise agreement.
The Health Workers Union, which represents some Healthscope workers in private hospitals and disability care, said it was not aware of the underpayment issue.
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