Up to 800 jobs to go in Pennine Trust Hospitals

Date published: 05/05/2006

In an email memo, Acting Chief Executive of Pennine NHS Trust, Bob Chadwick, has stunned staff at Rochdale Infirmary by revealing planned massive job cuts. Mr Chadwick explains the dire financial situation the Trust faces and the need to face up to the financial reality of balancing the budget, and though he promises to shed some jobs through what he calls "natural wastage" he also says he cannot rule out "compulsory redundancies."

Councillor Jean Ashworth was enraged by the memo and said: "It is disgraceful to get this memo at the same time as the media. As a member of staff who has worked at the hospital for nearly 30 years I find this an appalling way to treat us. Morale is absolute rock bottom; whatever happened to consultation?

"What is worse is that Paediatrics, Maternity and Special Care Baby Unit staff had a meeting with managers on Wednesday 3 May and this was not mentioned!"

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THE MEMO

All-staff memo: managers should make this memo  available to any staff without email access.
 
 
Dear colleague
 
The financial issues facing the NHS have been widely covered recently, and many staff in the Trust have been aware that the year 2006/07 was going to be a very difficult one for us.
 
This is certainly the case. We are facing an in-year deficit of £21.3 million, and a recurrent deficit of £28.3 million.
 
The Trust is reporting a substantial deficit because of changes in the financial regime of the NHS. We can no longer borrow in the same way to balance our budget, and we will not cover the costs of providing services under Payment By Results unless we improve efficiency.
 
We are carrying out a review aimed at identifying steps to address the deficit - this will look at ways of supporting that increase in efficiency and making savings, but current estimates are that this could include reducing an estimated 800 posts.
 
I say estimated because we do not know yet. The impact on posts will be determined by what other measures we can take.
 
Obviously we will look at vacant posts first, use recruitment restrictions, natural wastage and all the other mechanisms which would be expected. We would certainly consider early retirements and voluntary redundancies, but we cannot rule out compulsory redundancies.
 
I realise the concern that this will cause to all staff in the organisation, and the importance of bringing certainty as quickly as possible.
 
This review has started, and there will be consultation with the unions. Once we have detailed proposals then we will share them with staff - this should be a period of weeks, not months.
 
This is not a situation we would willingly be in. But the Trust has made real advances in the services it provides for patients, and creating a solid financial basis is essential if we are to continue to provide high quality and sustainable services for all our patients.
 
Mr Bob Chadwick
Acting Chief Executive