HSE Faces Scrutiny Over High Executive Pay and Covid-19 Write-offs

The Health Service Executive (HSE) has come under fire from the Public Accounts Committee (PAC) regarding high staff remuneration and the write-off of Covid-19 related expenses.

Seamus McCarthy, the Comptroller & Auditor General, revealed that the highest paid HSE employee earned almost €1 million last year. This included €700,000 for treating patients outside normal hours, under non-standard contract terms.

Consultant Call-Outs Under Review

Chief Executive Bernard Gloster admitted to the PAC that the contractual provision for consultant call-outs, which can lead to substantial payments, was never intended to reach such high levels. He emphasized that the majority of hard-working staff, including consultants, provide on-call services that do not fall into this category.

Mr. Gloster stated that remuneration and related rules are set externally to the HSE, noting that pay scales and the new consultant contract will likely contribute to the growing number of high earners over time.

Covid-19 Write-offs Raise Concerns

The PAC also learned that €86.5 million worth of Covid-19 vaccines were written off last year, with the cumulative write-off for the pandemic reaching €181 million, representing 40% of the total cost incurred on Covid-19 vaccines. Mr. McCarthy disclosed that the HSE also held €12.5 million worth of expiring antigen tests at the end of last year.

Storage costs for Personal Protective Equipment and hand gel amounted to €2.3 million last year, further highlighting the financial implications of the pandemic response.

Electronic Health Records and Financial Management System

Mr. Gloster estimated it will take another seven years for the HSE to ensure everyone has an Electronic Health Record (EHR). However, he assured the committee that individuals will gain access to an app with relevant health information sooner.

Separately, Mr. McCarthy revealed that the cost of the new HSE Integrated Financial Management System (IFMS) has reached €136 million, exceeding the initial projections made in 2015. The system is expected to be fully implemented by July 2024, with voluntary organizations included by mid-2026.

Mr. Gloster described the IFMS as a critical development, stating that it will provide improved financial reporting, forecasting, management, governance, compliance, transparency, and overall financial control.

These revelations have raised concerns about the HSE’s financial management and transparency. The public awaits further action from the HSE and the government to address these issues.