As Receivers weigh a consortium bid from landlords and rival hospital operators, one Healthscope worker says staff have little faith in management’s tax-saving “benevolent society” plan.
The consortium that has made a bid for the remaining hospitals in the embattled Healthscope group has been confirmed as the two commercial property landlords, HMC and Northwest; hospital operators Calvary and HealtheCare (owned by Pacific Equity Partners); and two smaller operators, Acurio and KnG Healthcare.
In a staff memo, Healthscope interim chief executive Nicole Waldron said receivers McGrathNicol were considering the offer because it could provide an alternative way for the hospitals to stay open and protect jobs for hospital staff.
“I want to assure you that the Receivers have been clear that For Purpose remains a live and attractive proposition. And myself and the ELT remain passionately committed to giving our For Purpose plan every chance of success,” she wrote.
To further this, she announced they would soon announce the recently appointed independent chair of the For Purpose organisation
While news of the consortium might be difficult for Ms Waldron to hear, Health Services Daily has been told“it is music to the ears of the staff who actually work here”.
One staff member came to us anonymously to express their disdain with the For Purpose proposal.
In particular, they’re outraged at the proposal to turn a profit organisation into a ‘benevolent society’ to save tax. They also disagree with the proposed arrangement to use 90% of the salary advantage to pay down creditors rather than increase take home pay for workers.
“This is an absolute outrage where hard-working healthcare professionals and associated workers, personal care assistants, cleaners, kitchen workers, the people who take out the garbage etc would be giving up a tax benefit to a capitalist organisation who got into major debt,” the Healthscope worker said.
They said recent wage disputes have also reduced their trust in management.
“Healthscope nurses in Victoria were being paid 10 to 15% less than any other nurses in the country but we’re asking for parity with public hospital nurses including pay rises over the next two years in line with the public sector,” they told HSD.
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“During a protected industrial action, we were threatened with pay docking from the management and intimidation tactics were carried out. So the overwhelming majority of the staff particularly the nursing staff have zero confidence in this team.”
The consortium will be conducting due diligence during the next six weeks, with some site visits required. They expect the lenders will make a decision on the future of Healthscope by the end of September 2026.
Meanwhile, Ms Waldron also announced that Healthscope is in advanced negotiations for the sale of Mount Private Hospital in Perth. This would reduce the number of hospitals in the network to 27.
“This decision has been some time in the making and is unrelated to today’s news about the consortium bid,” she said.
The deal would ensure the continued operation of the hospital and the protection of jobs and entitlements.