Hospitals ‘within days’ of being unable to pay thousands of doctors, new FOI documents reveal

The state's health minister Mary-Anne Thomas defends a $422m payment required to keep the hospitals afloat: documents show.
Australian Associated Press
Victorian Health Minister Mary-Anne Thomas. Photo: AAP.

Victoria’s hospitals came within days of being unable to pay staff or creditors, prompting the health minister to request $422 million be urgently pumped into the system.

Minister for Health Mary-Anne Thomas wrote to Victorian Treasurer Tim Pallas seeking support for “urgent payments” in June 2023, according to a letter obtained by the state’s Opposition under a freedom of information request.

Some 22 health services were set to record deficits in the 2022-23 financial year, according to a departmental briefing document also released under the request.

“Without additional funding in June, health services will be unable to make payroll payments to employees and will have insufficient operating cash to pay creditors,” the document, dated 9 June 2023, stated.