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THE HEALTH MINISTER James Reilly has come in for considerable criticism in recent months culminating in the two main opposition parties set to table motions of no confidence in him when the Dáil returns.
Though there was much speculation about the Fine Gael minister’s future over the weekend it appears unlikely he will be moved anytime soon and the motions of no confidence will be easily defeated by the government’s huge majority.
But that will not disguise the considerable unease that Reilly is causing particularly among backbench Labour TDs worried about the effect his surprise announcement of cuts in the HSE last week will have on the most vulnerable in our society.
But these are not the only reasons why Reilly is under pressure. TheJournal.ie looks at a few more…
Handling of the Health Service Executive (HSE)
Reilly was appointed Health Minister in February 2011 having spent two years in opposition promising to radically overhaul the delivery of health services in Ireland during his term in office. As part of this he pledged to abolish the HSE by incrementally reducing its involvement in the delivery of services following much criticism of the organisation.
He started that by asking the board to resign and then appointed a new board with more health professionals on it. Then in changes announced earlier this year which would see the post of chief executive abolished, Cathal Magee announced he was standing down. Reilly has also installed a structure that he described as ‘temporary in nature as the Government moves to introduce new legislation to establish a new directorate structure in the HSE’.
So as the HSE remains in place, it is the subject of considerable scrutiny particularly when it was revealed earlier this year that it was facing an overspend of some €500 million for 2012. That led to the announcement last week of an additional €130 million in cuts, some of which will hit the elderly and those with disabilities.
It’s not hard to see that such a decision would be unpopular but Reilly would rightfully argue that it is necessitated by the country’s dire economic state. But all that said, others would raise questions as to just why the hundreds of millions in overspend was allowed and not contained earlier and whether Reilly handled the announced cuts last week well given he was accused of “going into hiding” when it was left to the HSE’s Laverne McGuinness to answer questions on the €130 million cuts.
The extent of the problems in the HSE were underlined when details of the now departed Magee’s correspondence with Reilly about the HSE deficit were disclosed. Magee’s request for guidance from the Department of Health was met with a directive to find more savings from the reform of work practices, something which apparently hasn’t worked.
Dealing with consultants’ pay
Reilly has been accused of failing to address the issue of consultants’ pay in the health service, which the programme for government said would be reduced. However, the Minister argues that changes in work practices have yielded €63 million in savings last year and will yield another €70 million this year.
He has now raised the issue of Croke Park Agreement and the need to look at pay across the public sector which is currently protected under the agreement. But that is unlikely to sit well with unions and that’s a whole other problem…
Communication with unions
Although speeches to union conferences are rarely pleasant affairs for ministers, Reilly’s speech to the Irish Nurses and Midwives Organisation (INMO) in May did not go down particularly well as he told nurses that hospital beds that have been closed will not be reopened, and he outlined the neccessity of cuts and a change in work practices.
In response, INMO president Sheila Dickson said that her members did not need a lecture from a government minister while other delegates felt Reilly’s speech was too short and lacked substance.
Relationship with junior ministers
In July, the Minister of State for Primary Care Róisín Shortall was asked four times whether she had full confidence in Reilly as health minister and on all four occasions declined to say categorically that she did instead saying that the pair needed “to work through policy”.
The tensions have been underlined by the fact Reilly did not inform Shortall or fellow Labour junior minister at the Department, Kathleen Lynch, that Cathal Magee was to step down from the HSE. Both instead learned of the development through media reports, an indication of the strain between the ministers.
Children’s Hospital
In February, following the decision by An Bord Pleanála to refuse planning permission for the long planned National Children’s Hospital on the site of the Mater Hospital in Dublin, Reilly told an Oireachtas Committee: “We shall sit down and examine the decision…with great urgency and immediacy”. Seven months on and we are no closer to knowing just where the hospital is going to be built and when construction will begin.
Granted this is a fiasco that is leftover from the previous government but Reilly is sure to come under growing pressure in the months to come unless a decision is made as to just when and exactly where the much needed hospital is going to be built.
Personal issues
Reilly became the first cabinet minister to ever have his name published on the defaulters’ list in Stubbs Gazette in July. It caused some considerable embarrassment for the Minister who was forced to make a statement to the Dáil which many feel did not sufficiently address the issues raised by the publication of his name in the Gazette for his involvement in a nursing home in Carrick-on-Suir.
And it was that very home in Tipperary that was the subject of a critical report from the Health Information and Quality Authority in June.
In April of 2011, it was revealed that Reilly and his wife are the recepients of tax breaks for the upkeep of their 13-bedroom mansion in Moneygall, Co Offaly. Of course there is nothing at all wrong with this but it is unlikely to sit well with those who are on the receiving end of the health cuts to see the Minister responsible for overseeing them living in such a place and benefiting financially from it.
In addition to this, Reilly was one of a number of Fine Gael ministers who met with Michael Lowry, the controversial TD who was the subject of adverse findings in the Moriarty Tribunal report. Reilly defended the meeting as being in the interests of democracy but that did not stop a few raised eyebrows about his and his party’s continued relationship with a TD it ousted in the 90s.
Communication
By now you can probably see a theme developing when it comes to the Minister and explaining why he is under pressure.
Reilly has in various quarters been criticised for failing to communicate the changes he is implementing and plans to implement to the rest of the government and to the general public.
The resignation of Cathal Magee was significant enough without the accompanying fiasco of ministers in his own department only finding out through the media. Added to that why was the issue of the potential overspend of €500 million kept from government until it too emerged in the media?
And it is clear that was little in terms of communication about the €130 million in HSE cuts announced last week beyond an email a few hours beforehand, according to fellow Fine Gael minister Lucinda Creighton in the Irish Times today.
Last, but by no means least, Reilly has been praised in some quarters for his acknowledgement that the government needs to legislate for the landmark Supreme Court X case. But that has not stopped criticism from within his own party for appearing to set out his agenda on the issue without first consulting the views of those within Fine Gael who are vehemently opposed to legislating for abortion in Ireland in any way.
It’s clear communication is an issue for the Minister.
What’s going to happen…
There were no major developments from today’s cabinet meeting to indicate that Reilly’s position is in jeopardy, added to that a number of Labour backbenchers who raised concerns about the Minister over the weekend have since softened the tone of their rhetoric.
Reilly will survive the obvious embarrassment that will be cause by the tabling of motions of no confidence by opposition parties. But how he will resolve the ongoing financial problems in the HSE and deal with the considerable opposition the forthcoming budget cuts in the health sector are likely to create is more difficult to determine.
And while dealing with all of this what impact will it have on his long held ambition to reform the delivery of health services in Ireland by creating Universal Health Insurance?
It’s little wonder that one former health minister, Brian Cowen, once referred to the Department of Health as ‘Angola’ because it is full of unexploded mines.
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Makes little cents to me.
Actually, non-cents-ical.
euronly making matters worse.
1s and 2s are so last CENTury.
Dealz stands to make a fortune. Everthing they sell is marked €1.49.
Just make sure you buy the products in 3′s and you come out on top
Rounding it up and not down I’m guessing!
Why would you round down from 9.99 to 9.90?
9.95*
I bought a chicken roll, a large Americano and a muffin the other day for 6.92 – I expect this will soon be 6.95 instead of 6.90!
It rounds up and down. Australia has been doing this since the early 90s. It’s quite simple. If you pay .01, .02, .06 or .07, it gets rounded down. If you’re paying .03, .04, .08 or .09, it gets rounded up.
What will happen to the 1c for a bag of dorritos vouchers I’ve been getting on the centra app? Will these go to 0c or 5c?
@Jake Race,
Yeah, but you can be sure we won’t be as smart as the Australians.
Anonymous Man your 6.92 will be rounded down but if it was 6.93 it would be rounded up… I dont understand why people cant grasp this.
more like round it up to 10.00
What’s round & goes, ” grrrrrrrrrrrrrrr…” …??
- a vicious circle.
Cue Aldi and Lidl taking out full page adds in national newspapers with the slogan “we will always round in your favour”
I alway pay my Aldi bill with a card so will make no difference!
So?
you might lose 2 cent today but gain 2 tomorrow. perfect sense
And that’s Karls 2 cent!
If you’re really stingy you can ask for exact change each time it would round-up, but go with it when it rounds down.
Something my old fella would probably do.
how can you ask for the exact change if there’s no one cent or two cents ?
Because there still will be 1 and 2 cent coins.
According to the central bank if the shop cannot give you exact change they must round downwards.That is why they are advised to have a stock of 1 and 2 cent coins.
there will come a time though when there won’t be any .
This makes absolute sense and works very well in Australia, I’m surprised it took so long to implement.
Works perfectly well here in the Netherlands too, the 1 and 2 cents are out of circulation.
Ah but this is Ireland where we will find reasons to moan about it that the Aussies and Dutch could only dream about.
A trial in Wexford showed that 85% of shoppers wanted rounding off around the country. Is that 85% of Wexford shoppers want it for the rest of the country or was there a general poll done and it’s 85% of the country? It’s a little earlier on a Monday morning for me and maths.
Most bsiness have to pay the bank for 1c and 2c coins. removing them saves the business money in the long term. I’m sure most businesses would take up a voluntary scheme if it makes them money.
Robbie you can still request your correct change.
Thanks lads, i’m not knocking the idea, it does make sense. But on the downside, it’ll be the Trocaire lent boxes that’ll feel the brunt of it.
Apparently so, yes.
Which makes a mockery of the whole thing, TBH.
Prices will eventually go up, they will never bring them down once they get rid of the 1c and 2c coins. The average person will lose out yet again!
Start a business or something then Steve instead of just being a victim all your life.
How exactly did you come to that conclusion?
Easier said than done!
@ Tony, it’s pretty obvious, what makes you think the shops will round down the cost of items? Everything will be rounded up when the 1 & 2c coins go
Stop being an average person.
@ Neal, yeah well I tried the superhero life but it was too boring!
Lads, if you read a proper article about this, you’ll see that prices will not change because of this, now or in the future.
The rounding is on the TRANSACTION TOTAL, not the individual product price. It will still be in the shop’s interests to price items at .99, .98, .95, etc. and they will still do it.
The maximum you will lose or gain when you pay by cash in a shop is 2 cent.
If you buy one item priced at 99 cent, you’ll pay a euro – you lose 1 cent.
If you buy 101 items priced at 99 cent (99.99) you’ll pay 100 euro – you’ll still only lose 1 cent.
if you buy 100 items priced at 99 cent (99.00) you’ll pay 99 euro – you lose nothing
if you buy 99 items priced at 99 cent (98.01) you’ll pay 98 euro – you’ll gain one cent.
See how it works?
see Grigori’s post Steve
My point was that when they get rid of the coins the prices will be rounded up, not down, so the cost of nearly everything will go up. A small amount yes, but over time it’s not that small, especially if you take into account how many items will go up, and how many people purchasing these items means millions more spent.
I did Tony, but I think most people missed my point!
Prices will be rounded down as well as up Stevo.
Prices ending in 1,2 down 3,4 up 6,7 down 8,9 up. Hope that makes cents!
Hope so Todd, but I’m not as optimist as you unfortunately
Tha vast majority of items for sale end in 99. So jackpot for the retailers! Every penny (cent) counts.
Yes, but the rounding applies to the TOTAL. Yes, the TOTAL basket. So retailers are still incentivised to advertise products at .99 prices, and the clever consumer can ensure that simply by walking around the store with a calculator, they can making a killing of 2c every time they shop. Consumer Bonanza! I reckon I can save 2 euro a year with this savvy shopping.
If you buy a packet of peanuts in a pub there are about 100 of them for a euro. So a cent is worth about a SINGLE peanut.
I wish they’d round up this so called government!
Mate, it’s too early.
i wish they’d round down iw
And so it begins…..
While it’s a great idea, a no-brainer, really, I don’t see it working if its voluntary.
Perhaps shops Wight stop pricing everything at x.99
Why would they? There’s even less incentive for them to do so now, if they can just round it up at the till while still flaggin it as .99.
The rounding is on the whole transaction, not the product price. The maximum rounding up or down that can happen is 2 cent.
About time, 1 and 2 cent coins should be taken out of circulation, never should have been in circulation
My local shop already just mumbles something about “no change” and leaves you short without asking whether it’s okay. with you. At least now the law is behind them
The law is not behind them, the clue is the word ‘voluntary ‘.The customer does not have to agree to rounding if they don’t wish to.
It will be eventually though. This is the start of it.
Hmmm, I wonder will they round up or down?
You could read the article and find out, just a suggestion
Hmmmm, but I wonder will they round it up or down?
Well that went over a few heads
Yeah, come on, people! I liked it anyway, Philip.
here’s my two cents
Sorry not allowed.
Consumers can choose whether to round or not. So it’s basically going to be, “round down? Yes please. Round up? No thanks.” That’s just going to cost businesses money, it may be just 1-2c but with a lot of transactions, that’s going to add up.
Either we do it right or don’t do it all.
If you check the receipt breakdown it’s actually the tax man footing the bill so costing the business nothing
It’s simple just keep a stock of 1/2 cent coins, or change all your prices to end in .00 or .05
So the tax man foots the bill when it’s rounded down, but the consumer foots the bill when it’s rounded up?? Strange one.
Unless shops change their prices I will opt out and request correct change
Why?
What difference does it make to you if they round off?
Your comment suggests you don’t understand the process.
Ah, I do. If something is priced 9.99 that is what I want to pay, not 10.00
Jo, as long as when you buy 3 things costing 9.99, you pay the full 29.97 and not the rounded down total of 29.95, you big scant.
Correct, I will pay the total as priced. If retailers want to stop using 1c and 2c coins they should price accordingly
I bet you’re great craic altogether.
Because prices will be going up…
You’re talking peanuts.
Charities will loose out. A lot of people stick their coppers into charity boxes at the till
people will still get copper change, but it will be 5 cent instead of 1 or 2.
Why don’t the shops just charge in 5 cent increments? What’s the point of rounding off?
That’s what we do in place I work.
Cause then everything would simply be rounded up 5 cents…OK for expensive things but some cheap items would be increased a noticeable %…penny sweets for example :) (I know they no longer exist but you get my meaning).
This way prices can be anything and then the TOTAL is rounded.
Makes far more sense.
Niall, think about a shop where everything is priced at 3.99
you’re buying 62 items. your bill comes to 247.38
Which would you prefer:
For that to be rounded up to to 247.40 – a 2 cent difference (which is what will happen under this system)
Or
for the 3.99 to be rounded up to 4.00 and the total becomes 248 – a 62 cent difference (which would happen if all prices were in 5 cent increments)
then they’ll start to round off five cents and so on and so on
For sure…in a couple of years everything will cost ONE MLLLION DOLLAHS!
Smart premonition there.
Our shop has been doing this for the last 2 weeks, and always rounding down
As usual the Irish Central Bank is lying.
‘Rounding up’ isn’t being introduced because of ‘convenience’ but because of inflation.
The European Central Bank has printed too much money and thus the one and two cent coins
have become increasingly worthless.
The more money they print, the less valuable it becomes, and the less you can buy with it.
It’s not an ‘efficiency’ measure – it’s a sign the Irish Central Bank has reduced your standard of living.
Except that Eurozone inflation is currently running at about -0.08%. Yes. that’s deflation. http://www.rateinflation.com/inflation-rate/euro-area-historical-inflation-rate
Deflation happening in Q.E. says that something is wrong somewhere big time…
The long term trend is always inflationary with central banks.
Inflation statistics, especially those issued by the ECB, are simply not trustworthy.
For example, the Harmonized Indices of Consumer Prices (HCIP) used by the ECB
excludes costs associated with owner occupied housing.
This conveniently reduces what is the largest share of expenditure for the average consumer and
thus reduces the inflation rate.
One of the major factors in the housing boom was the European Central Bank printing money
which was channeled into property. If the ECB had taken this into account their inflation figures would have shown double digits. But of course they left out the costs associated with housing and so their figures instead showed apparently low inflation.
Also when governments release GDP figures they exclude inflation from these figures and the GDP figures rise then because of the cost of everything goes up but inflation isn’t added into the calculations. Making it look like people are spending more, that buying confidence is up but it is not because people are spending more that to the increase in the cost of things like food.
They know how to play the figures…
Q.E. creates inflation but in the U.K. it seems deflation is happening. All of the growth in jobs in the U.K. is built on the property bubble and this bubble seems to be based on two things. Firstly Saudi Arabians buying up property as houses not to use but to sell when the price of the property increases, therefore many properties are going to waste and are boarded up and secondly criminals from drug cartels using the buying of property to launder their money as British banks do not mind doing this for them. All of the U.K. economy is built on a housing bubble that they are still trying to keep inflating, that will cause it to burst eventually?
http://www.independent.co.uk/news/uk/home-news/london-property-boom-built-on-dirty-money-10083527.html
http://www.dailymail.co.uk/news/article-2727212/How-wealthy-Gulf-Arabs-buying-huge-swathes-capital-including-150m-Mayfair-property-year-alone.html
How long before they government introduce a rounding off tax?
Not before they introduce an idiotic commentator tax, I hope.
Water tax, Household tax,USC seem no more ridiculous to me than rounding off tax. Anyway i’m off out .Have a good evening Frank’s cat
So the government is in favour of it.
The retailers are in favour of it.
The Central Bank is in ifavour of it.
Even Ronnie O’Toole is in favour of it.
There is something fishy going on here – there may be savings to be had somewhere in all of this but they won’t be savings for the consumers. Presumably, in the longer term, the 1c and 2c coins will be gone entirely and then what will the prices be?
See above. Everything will cost a bazillion euros.
Won’t this move by the Government and the Central Bank contribute to inflation? “Rounding off” will inevitably be done in an upward direction, almost never in a downward direction.
100% of retailers are in favour of the national rollout of this scheme following the successful trial in Wexford in 2013. Think of the amount of products on sale ending in 99. They’re delighted!!! Saying that it’s a great idea, it has worked well in Oz and it will drastically reduce the volume of unwanted coppers accumulating across the country amongst others things. 5c – you’re next!
It will be like when they brought in the Euro first, they said the same thing and the prices went up and not down…
What will happen to those of us who pay by card?
I presume that my bill of, say €12,34 will go through my account as €12.34, but the person behind me – buying the exact same items, and paying with a €10 and a €5 will be given change of €2.65 – losing a cent in the process.
What will happen to those of us who pay by card? Nothing!
They should start with the point of a cent at petrol and diesel pumps. But now I’ll be making sure it give myself 2c free to have it rounded down. :-P
have your say