HEALTH BUDGET

28 Dr McFETRIDGE (Morphett) (1 June 2010). Have the $48 million efficiency dividends outlined to be undertaken across Health Expenditure in the 2006-07 Budget been achieved and if so, how was this achieved?

The Hon. J.D. HILL (Kaurna—Minister for Health, Minister for Mental Health and Substance Abuse, Minister for the Southern Suburbs, Minister Assisting the Premier in the Arts): I am advised:

The Health Portfolio was required to meet savings as part of the 2006-07 Budget of $47.05 million over the four years 2006-07 to 2009-10 relating to efficiency dividends, with $45.612 million over four years allocated across all health regions and $1.438 million over four years allocated to the Department of Health.

Department of Health—efficiency dividend

The Department of Health has recurrently achieved this savings target. This savings target was achieved by the Department of Health as a result of strategies identified during 2006-07 and 2007-08 Departmental Reviews, which identified opportunities for internal organisational restructuring and general efficiencies.

Health Services—efficiency dividend

The Health Services allocation of the efficiency dividend in 2009-10 is $18.434 million and approximately $13.504 million (2008-09 component) in savings have been achieved recurrently through the implementation of Regional strategies.

In 2010-11, SA Health is continuing to work towards identifying strategies in consultation with health regions to meet existing and growth in savings required across the forward estimates. The management strategies targeted in 2010-11 include:

improved leave management through the standardisation of leave management and review of annual leave policies across the Portfolio

better management of overtime costs through a comprehensive review of overtime and the implementation of standard overtime policies across all major metropolitan hospitals

more efficient utilisation of agency staffing

reduction in administrative support costs through the review of all non-clinical services and the reduction of duplication of support services

vacancy management through review of historical practices surrounding filling vacancies and the focus of priority filling of essential positions.

These management strategies will not affect frontline health care services.