The ACT Government’s decision to sell Jindalee Nursing Home has to be seen in the framework of the Commonwealth’s increased role in the field. The Commonwealth has increasingly used its control over the purse strings to exercise ever more control over all aspects of health, including nursing homes. At present it grants nursing homes subsidies according to patient numbers. In return it demands certain standards are met. The trouble at the moment is that the ACT Government is not meeting all the standards. It is not very good at running nursing homes _ unlike others in the private sector and in the non-profit (charity) sector. The ACT Government is running Jindalee at a loss after Commonwealth subsidy and is running it sub-standard. It meets medical and nursing standards, but not all the quality of life standards.
It would be better for the patients and for the ACT Budget to get someone who is good at running nursing homes to run Jindalee. The Commonwealth subsidy would continue. Moreover, Commonwealth standards would more likely be enforced unlike now.
The decision has brought predictable wrath from unions about “job losses”. But that may be as much a concern about membership numbers than the careers of individuals who can continue under new ownership or take new positions elsewhere in the health system. Retrenchments should not be necessary and would not be acceptable.