Home / Health / NB Doctors' Pay Deal: Spending Cuts Loom
NB Doctors' Pay Deal: Spending Cuts Loom
16 Mar
Summary
- New Brunswick's health minister cites unavoidable future spending increases.
- Premier Holt seeks 10% spending cuts across all government departments.
- A new four-year pay agreement with doctors costs taxpayers $176 million.
New Brunswick Premier Susan Holt has stated that health care will be included in a 10% spending reduction target for all government departments. This initiative aims to address a ballooning budget deficit.
Despite this, Health Minister John Dornan indicated that significant increases in health-care spending are unavoidable in the coming years due to factors like inflation. Currently, health-care spending is projected to be $432.5 million over budget for the current year.
A new four-year pay agreement with the province's doctors, costing $176 million in its first year, is a major contributor to the budget overshoot. This agreement includes financial incentives for physicians working in collaborative care clinics.
The contract aims to make New Brunswick more competitive for medical professionals, with compensation for family doctors and specialists having fallen behind other Canadian jurisdictions. Since April 1 of last year, the province has seen a net gain of 66 doctors.
