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DHBNZ Undermines Promise Of 3% Funding Increase


DHBNZ Undermines Government’s Promise Of 3% Funding Increase To Aged Care Sector

The Provider Representative Coalition for residential aged care and private hospitals are dismayed that DHBNZ refuses to pass on the Government’s announced 3% funding increase unless providers agree to significant changes to contract conditions.

This move undermines the announcement made by the Government in December to compensate the aged care sector for inflation in 2004. This funding increase was meant to stop the crisis getting any worse. It was not designed as a Trojan horse for DHBNZ to force providers into accepting changes that DHBNZ couldn’t force on providers when the contract was first negotiated.

By holding onto the extra $18 million DHBNZ are ultimately hurting the vulnerable elderly and the people who work in the aged care sector

“We were negotiating in good faith and had narrowed the issues down to half a dozen – and then DHBNZ without warning decide to re-litigate past issues. This doesn’t show good faith by officials or even a willingness to move on” said Martin Taylor CEO of Residential Care New Zealand.

“For many of our providers, especially the small owner operator, or religious and welfare provider, they desperately need this 3% to survive for them it’s about keeping the wolf from the door for another few months”, say Gillian Bremner New Zealand Council of Christian Social Services

The Provider Coalition wants the Government to show leadership and ask their officials why they are acting in such an obstructive manner.

“All we want is for our providers, employees and elderly to get a fair deal and to be treated in good faith by DHBNZ and the Labour led government”, says Victoria Brown Chairperson of Association Residential Care Homes.

The Provider Representative Coalition collectively represents almost all private hospitals and resthomes in New Zealand. The Group comprises: The New Zealand Council of Christian Social Services, New Zealand Private Hospital Association, Residential Care New Zealand, and Association Residential Care Homes.


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