Dorset County Hospital chief executive Patricia Miller speaks out over exit packages cost described as 'excessive' by governor

On Monday, the Echo revealed that £804,000 has been handed out as exit packages for compulsory and voluntary redundancies at DCH since the financial year 2010/11.

The figure was criticised by hospital governor Michel Hooper-Immins, who said the money ‘could and should have been spent on patients.’ 

But, at DCHFT’s annual general meeting on Monday, chief executive Patricia Miller said the majority of the payments refer to a Mutually Agreed Resignation Scheme and were made between 2010 and 2012.

Staffing the hospital costs about £100m a year and Ms Miller said the scheme was used during a hospital turnaround to help reduce its workforce so that it could ‘move forward' and 'run services more efficiently.’

She said: “We wrote to staff during a turnaround and asked them if they would like to leave. £100m a year is not insignificant.”

Between 2010 and 2016 there were 12 single payouts which fell into the £25,000 to £50,000 bracket.

The number of exit packages paid out overall between 2010/11 and 2015/16 was 64 – a mean average of £12,562.5 each, although brackets range from below £10,000 to up to £50,000.

A DCH spokesman said: “The payments referenced relate to a number of different categories of payment in relation to the termination of employment contracts over a seven year period. 

“These payments will include voluntary severance payments, redundancy payments, payments in lieu of notice and payments in relation to settlement agreements relating to employment disputes.

“The majority of the payments relate to a centrally approved voluntary severance programme during 2011-12 and 2012-13 to support the Trust’s turnaround programme.

“All other payments relating to employment termination are made within the national guidelines, compliant with employment legislation, and agreed to minimise costs placed on the Trust which detract from funding we can focus on direct patient care.”