THE threat of a 20pc funding cut hanging over St Vincent's Hospital in Dublin from tomorrow in a row over salary top-ups has been lifted for now, writes Eilish O'Regan.
St Vincent's was the last of five agencies told its funding would be cut if it did not make a business case to the HSE to allow it to continue to pay top-ups to senior managers.
The HSE said yesterday that St Vincent's had provided it with the "requisite unambiguous confirmation" of its intention to achieve full compliance with public sector pay policy before March 31.
"Consequently, the HSE has decided to defer the initiation of a 20pc funding withholding until April 1, 2014, in order to allow St Vincent's University Hospital to achieve full compliance, as indicated in its correspondence," it said.
Four other hospitals and agencies – including St James's Hospital, St John of God Disability Services, the Brothers of Charity South and South East – have all agreed to comply with HSE instructions to submit the business cases.
St James's Hospital confirmed yesterday that it has now submitted nine business cases for the continuance of allowance payments. It had originally disputed HSE claims that it was paying top-ups but several of the allowances are not authorised and have to be assessed by the HSE to determine if they can continue.
St John of God Disability Services said it submitted its business case last Friday but was asked to use a different format and this was revised. The Brothers of Charity South and South East submitted the cases earlier this week.
St Vincent's said it was already engaged in a process to resolve the issues with the HSE by the end of March and a board meeting would be taking place on Monday.