Landspítali says underfunding may force layoffs and hurt patients

Landspítali says a funding shortfall could force staff cuts and harm patient care. The hospital set out its concerns in a submission on the government’s draft budget for next year, reported by mbl.is.

The hospital says an underlying operating deficit, demands for further efficiency measures and growing demand for its services have created a significant gap between its funding needs and the allocation proposed in the bill.

Chief executive Runólfur Pálsson said there was considerable reason to worry about how underfunding could affect services the hospital is legally responsible for providing. He noted that 75% of the hospital’s expenditure goes on staff wages.

Landspítali has worked to recruit staff in recent years amid shortages across most healthcare professions. Pálsson said the shortages were partly linked to shorter working weeks. He warned that the proposed underfunding would worsen staff shortages and make layoffs necessary to reduce operations.

“Another, even worse consequence is that patients will suffer from the impact of cuts to operations,” the submission says.