Ministry-controlled hospitals reported slight profit in 2012

Prague, Feb 26 (CTK) - Czech teaching hospitals and Health Ministry-established institutes as a whole had a slight profit in 2012 while the hospitals directly controlled by the ministry had a profit of almost 357 million crowns, according to a chart CTK has at its disposal.

The hospitals showed a better result last year, when economic restrictions were introduced, than in 2011 when they made a profit of 231 million crowns.

The health care sector spends annually almost 300 billion crowns, more than 220 billion of which are covered by health insurance companies.

"The results have been attained thanks to the measures that the minister (Leos Heger) introduced - abolition of all unnecessary investments and orientation to an effective internal economy, including savings," deputy minister Petr Nosek told CTK.

Hospitals had to start abolishing redundant acute beds according to the ministry and health insurance companies' plan.

They were to get contracts for fewer beds, but the process has been suspended under the pressure of hospitals, trade unions and patients.

Hospitals got new contracts and they are to be forced to abolish further beds for which they will not get money.

Nosek said the ministry wants to pursue a balanced financial management this year as well.

He said the situation is to be about the same this year, but maybe "slightly more cruel" because the ministry's decree on payment per treatment is more favourable for medium- and small-sized facilities and less for teaching hospitals.

Hospitals will have to continue restricting unnecessary investments and besides providing health care, they will have to focus on having money for staff's salaries and overhead costs.

Hospitals were to raise salaries by 10 percent last year as the government promised trade unions in a memorandum, but the ministry recommended them to increase the salaries by only 6.25 percent to have a balanced financial management.

This year, some hospitals may strip their staff of the pay rise and the ministry has already said it will not punish hospitals that will do so.

(1=19.189 crowns)