Business

Queensland health service provider cuts hundreds of jobs amid economic woes

Amidst Queensland's cost-of-living crisis, one of the largest non-government employers, UnitingCare, has decided to terminate around 340 workers, primarily from its BlueCare service, known for providing various healthcare services such as aged care and nursing assistance.

This accounts for approximately 2% of UnitingCare's expansive workforce, which includes over 17,000 employees and numerous volunteers, serving across different sectors including operating private hospitals and Lifeline services in Queensland.

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UnitingCare CEO Craig Barke attributed the layoffs to the escalating costs associated with delivering essential services, outpacing the funding allocated for these purposes. Financial records reveal a significant loss of approximately $54 million for UnitingCare Queensland in 2023, necessitating what Barke describes as "difficult but necessary" measures to sustain services while managing resources responsibly.

In a statement, Barke said the organisation's commitment to upholding its core values such as compassion, respect, and justice, even amid organisational restructuring. He assured transparency and fairness in the consultation process with unions representing affected employees, aiming to support them through the transition period.

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However, Barke also cautioned BlueCare clients about potential delays in customer service due to changes in call centre operations, promising ongoing monitoring and mitigation efforts. Acknowledging the broader context, Barke framed the job cuts as part of a broader strategy aimed at ensuring UnitingCare's financial viability amidst evolving funding arrangements, regulatory changes, and persistent skill shortages affecting frontline services.

Despite these explanations, the Queensland Nurses and Midwives Union (QNMU) expressed concern over the layoffs, particularly regarding their potential impact on healthcare quality and the wellbeing of both staff and patients.

The QNMU stressed the importance of transparent communication from UnitingCare, urging the company to prioritise openness in addressing the repercussions of the job losses. They pledged to advocate for the interests of their members and patients, underscoring the need for continued vigilance in safeguarding the standards of healthcare provision within UnitingCare's aged care and hospital services.

Overall, the situation reflects the broader challenges facing organisations in the healthcare sector as they grapple with financial constraints and workforce pressures amidst economic uncertainties.

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