NSW Health could save $35m a year by giving psychiatrists a 25% pay rise, modelling suggests

Natasha May Health reporter

Feb. 11, 2025, 2 p.m.

Exclusive: Figures assume pay rise would entice psychiatrists back to work and reduce state’s reliance on casual doctors over four years

NSW Health could save $35m a year and improve patient care by giving psychiatrists a 25% pay rise compared with what it is now spending on staff due to a reliance on contractors to fill vacancies, according to modelling seen by Guardian Australia.

The modelling, conducted by a group of senior psychiatrists who have worked in medical administration, assumes the pay rise would entice psychiatrists back to work as staff specialists, who are employed in permanent roles in New South Wales public health, and reduce the state’s reliance on casual doctors, known as locums, over four years.

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