Education and the fiasco over trilingual teaching have meant that arguments and debates concerning the regional government's management of public services have tended to neglect the equally important health service. The weight given to these arguments may well now be shifting, and they are ones which further damage the government and make the possibility of the Partido Popular forming the next government even more remote.
Last month, the regional health minister, Martí Sansaloni, asked the finance ministry of José Vicente Marí for a line of credit of 40 million euros. He needed the money as without it salaries for the rest of the year would not be paid. Sansaloni had held out the begging bowl last year as well. Then, he only wanted 20 million in order to ensure that salaries were paid. The request for credit in October has to be seen in the context of what had been an increase of over 25 million euros to the total health budget for 2014. It was up to 1,195 million. Yet, despite this increase the credit requirement doubled. Nevertheless, Marí's finance ministry agreed to the request, but only 36 million. Sansaloni has to find four million euros' worth of savings over the final weeks of the year.
Sansaloni, who inherited the health job following the departures of two previous ministers, has had his share of difficulties since becoming minister. They have included the controversial case of Alpha Pam, the Senegalese immigrant who, as he was "sin papeles", was denied treatment at Inca Hospital that, as an emergency case, he should have received. His death and the fallout from it have clouded Sansaloni's time as minister, but this was something of an exceptional case. Far less exceptional is the day-to-day running of the health service and how that service is now operating. Or not.
In July, the PSOE opposition demanded answers related to what it described as the bad administration and absolute inefficiency of the health service. It pointed to a 30% fall in operations and to a waiting-list increase of over 100% - 51 to 121 days. In September, Sansaloni was in Madrid for a meeting to consider the challenges facing the Spanish health service. At that gathering he spoke of the need to change the tendency from greater costs to lower budgets and said that in the Balearics the health service was working with over one thousand fewer workers but good results and no fall in care.
So, he presented a different picture of the health service to the one which PSOE did. Moreover, when he spoke of lower budgets, he neglected the fact that the Balearics health budget had risen by just over 2% in 2013. He wouldn't have known then that the budget for 2015 was also set to rise and more substantially so, by over 10%.
That budget for next year actually contemplates some cuts. Son Espases, Son Llàtzer, Inca and Manacor hospitals will also have reductions in spend; not huge, but reductions nonetheless. It will be interesting to see, whoever is health minister this time next year, whether credit for salaries has to be asked for once again. But the question is, why is there this need for credit? As staff numbers have been slashed to the extent they have, as thousands of drugs and other products have been removed from the health service's "catalogue", why does the health service still find itself incapable of operating to a budget, one which is in any event higher?
The remedial measures that Sansaloni has had to adopt in order to meet the terms of the finance ministry credit include not covering for staff who are sick or on holiday. This has given rise to situations such as those in Puerto Alcúdia, Sa Pobla and Puerto Pollensa, where there have been no medical staff on duty at given times at the local health centres. The El Pi party has added its voice to that of PSOE in describing this failure in staff cover as "bad management policy" with "citizens the victims". From what Sansaloni had to say in September, it would have been thought that such a failure couldn't occur because IB-Salut, the Balearics health service, was not experiencing any fall in care. But it clearly is. And moreover, it is a fall in care despite budgets having risen and despite cuts to staff and drugs which were said didn't result in poorer levels of care.
A curiosity of the current government is that, for all the austerity that was spoken of, its total budget is now higher - by 362 million euros - than in its first year of government. The health service accounts for some of this. But where's the money going? People might want to ask that question in May when they're heading for the polling stations, bearing in mind that in November they found there were no medical staff on duty at their health centres.
Showing posts with label Cuts. Show all posts
Showing posts with label Cuts. Show all posts
Thursday, November 06, 2014
Tuesday, May 01, 2012
MALLORCA TODAY - Balearic Government cuts costs by over 250 million euros
The Balearic Government announced cuts yesterday amounting to 263 million euros and an anticipated increase of 83 million euros in its effort to reduce the region's deficit. The cuts will include the closure of two hospitals - the General and Joan March. There will also be adjustment to times of opening of local health centres (they will be reduced), the regional health authority losing in all 68 million euros from its budget.
Sunday, March 18, 2012
MALLORCA TODAY - Public support for Balearics' cuts
According to an opinion poll conducted on behalf of "Ultima Hora", a majority of Balearic islanders support the cuts being implemented by the regional government, though the majority is only small (52% of the population). A stronger majority (61%) is against the general strike planned for 29 March.
In a different poll, one by the research organisation Gadeso, results suggest that the Partido Popular government, were there to be another election now, would still hold onto power.
See more: Ultima Hora
And: Diario de Mallorca
In a different poll, one by the research organisation Gadeso, results suggest that the Partido Popular government, were there to be another election now, would still hold onto power.
See more: Ultima Hora
And: Diario de Mallorca
Sunday, January 01, 2012
The Pain In Spain 2012
Welcome to 2012. If you live and work in Mallorca, the good news is that you will be paying more income tax. A nice way to bring in the new year.
The announcement by the Spanish Government that income tax will rise is just one of a package of austerity measures. It shouldn't have come as a surprise, except that prior to the election Mariano Rajoy had implied that income tax wouldn't go up. Promises or statements can swiftly be reneged upon and can easily be justified by putting the blame on a situation left behind by the Zapatero administration that was worse than had been expected. It is a wholly disingenuous justification. Voters were idiots if they had really believed taxes wouldn't go up.
The government, in increasing income tax rather than IVA (VAT), argues that this will be less damaging to economic recovery. Who are they trying to kid? Fiscal measures, be they direct or indirect taxation increases, are harmful. At least with keeping direct taxation at the same level, there is theoretically more disposable income. The government's argument is fatuous.
A sensible measure that the government has taken in respect of IVA is not to reduce it for tourism businesses. Again, it is something of a broken promise, but it was a promise that was flawed. Tax receipts from IVA rose in 2011, thanks to a one per cent rise to 8% for tourism businesses. With prospects for tourism in 2012 bright and northern Africa still in turmoil, an IVA reduction would have been unnecessary and a mistake.
The government is faced with an enormous challenge. Of course it is, and it is being realistic in terms of the degree to which it can get the deficit down, but its measures will do little to stimulate recovery. IVA will be reduced for new-property purchase, which may help, but with credit in such short supply, it is mere tinkering.
Spain is pretty much back in recession and Mallorca and the Balearics are as well, despite what the regional government might think. The banks don't think the same and have said so. Tourism, for Mallorca, will be the saviour as it was in 2011, but the island's prospects are otherwise as bleak as they are for the country as a whole.
There must have been consternation in the corridors of Balearics political power when the news came through that central government intended not to extend financing to the islands (along with three other regions) as had been promised. Whether President Bauzá was on the phone to Rajoy demanding to know what was going on we don't know, but the central finance ministry issued a further announcement saying that there had been an error and that no agreement as to a finance cut (elimination in fact) had been arrived at. Again, who are they trying to kid? You don't just make a mistake when it comes to this sort of an announcement, or if you do, it doesn't say much for how joined up central government is.
The swiftness with which the mistake was admitted does suggest that some stern words were had. For Bauzá, so intimately linked to Rajoy, it was news he could have done without, as pressure starts to mount on him and dissent from within his own party increases, the result in part of the closeness both personally and in philosophy between Bauzá and Rajoy. The withdrawal of central finance would also, in all likelihood, have put the kibosh on certain projects in Mallorca; bad PR again for Bauzá who would find it extremely difficult to criticise his PP masters, having so slavishly been prepared to follow them.
Away from the budget, another announcement by central government has a distinct Mallorcan flavour, and that is the appointment of Isabel Borrego as tourism secretary of state. It had been expected that a Mallorcan would be appointed, even if Miquel Ramis had been the front-runner, but is Borrego's appointment as positive as Ramis' might have been? Ramis does have direct experience of tourism, where Borrego doesn't. The government says that this doesn't matter as Borrego's predecessor, Joan Mesquida, also didn't have direct experience. It's a weak argument to say the least.
Various organisations have been quick to support Borrego's appointment, but then they always are; it is known as being diplomatic. The most positive thing that is being said about Borrego is that her background in property and in law is an advantage. An advantage? What for exactly? Or for whom? One guess. Hotels. The worry is that Borrego will be inward-looking in addressing more arcane aspects of tourism, such as the application of various laws as they apply to the industry and to developments, rather than outward-looking in terms of marketing.
So, here we are at the start of 2012. It is going to be a rocky ride this year and unfortunately it hasn't started very encouragingly.
Any comments to andrew@thealcudiaguide.com please.
The announcement by the Spanish Government that income tax will rise is just one of a package of austerity measures. It shouldn't have come as a surprise, except that prior to the election Mariano Rajoy had implied that income tax wouldn't go up. Promises or statements can swiftly be reneged upon and can easily be justified by putting the blame on a situation left behind by the Zapatero administration that was worse than had been expected. It is a wholly disingenuous justification. Voters were idiots if they had really believed taxes wouldn't go up.
The government, in increasing income tax rather than IVA (VAT), argues that this will be less damaging to economic recovery. Who are they trying to kid? Fiscal measures, be they direct or indirect taxation increases, are harmful. At least with keeping direct taxation at the same level, there is theoretically more disposable income. The government's argument is fatuous.
A sensible measure that the government has taken in respect of IVA is not to reduce it for tourism businesses. Again, it is something of a broken promise, but it was a promise that was flawed. Tax receipts from IVA rose in 2011, thanks to a one per cent rise to 8% for tourism businesses. With prospects for tourism in 2012 bright and northern Africa still in turmoil, an IVA reduction would have been unnecessary and a mistake.
The government is faced with an enormous challenge. Of course it is, and it is being realistic in terms of the degree to which it can get the deficit down, but its measures will do little to stimulate recovery. IVA will be reduced for new-property purchase, which may help, but with credit in such short supply, it is mere tinkering.
Spain is pretty much back in recession and Mallorca and the Balearics are as well, despite what the regional government might think. The banks don't think the same and have said so. Tourism, for Mallorca, will be the saviour as it was in 2011, but the island's prospects are otherwise as bleak as they are for the country as a whole.
There must have been consternation in the corridors of Balearics political power when the news came through that central government intended not to extend financing to the islands (along with three other regions) as had been promised. Whether President Bauzá was on the phone to Rajoy demanding to know what was going on we don't know, but the central finance ministry issued a further announcement saying that there had been an error and that no agreement as to a finance cut (elimination in fact) had been arrived at. Again, who are they trying to kid? You don't just make a mistake when it comes to this sort of an announcement, or if you do, it doesn't say much for how joined up central government is.
The swiftness with which the mistake was admitted does suggest that some stern words were had. For Bauzá, so intimately linked to Rajoy, it was news he could have done without, as pressure starts to mount on him and dissent from within his own party increases, the result in part of the closeness both personally and in philosophy between Bauzá and Rajoy. The withdrawal of central finance would also, in all likelihood, have put the kibosh on certain projects in Mallorca; bad PR again for Bauzá who would find it extremely difficult to criticise his PP masters, having so slavishly been prepared to follow them.
Away from the budget, another announcement by central government has a distinct Mallorcan flavour, and that is the appointment of Isabel Borrego as tourism secretary of state. It had been expected that a Mallorcan would be appointed, even if Miquel Ramis had been the front-runner, but is Borrego's appointment as positive as Ramis' might have been? Ramis does have direct experience of tourism, where Borrego doesn't. The government says that this doesn't matter as Borrego's predecessor, Joan Mesquida, also didn't have direct experience. It's a weak argument to say the least.
Various organisations have been quick to support Borrego's appointment, but then they always are; it is known as being diplomatic. The most positive thing that is being said about Borrego is that her background in property and in law is an advantage. An advantage? What for exactly? Or for whom? One guess. Hotels. The worry is that Borrego will be inward-looking in addressing more arcane aspects of tourism, such as the application of various laws as they apply to the industry and to developments, rather than outward-looking in terms of marketing.
So, here we are at the start of 2012. It is going to be a rocky ride this year and unfortunately it hasn't started very encouragingly.
Any comments to andrew@thealcudiaguide.com please.
Tuesday, October 25, 2011
You Have The Poor Always With You
What does the Spanish region of Extremadura have in common with Ethiopia? (And don't say that both start with an "e".)
The two share a strikingly similar percentage in terms of their respective rates of poverty. The measures are different, as greatly different factors come into play, but the percentage of the population of Extremadura currently in poverty is 38%. In 2005, according to figures released by the CIA, Ethiopia, only six notches above the poorest two countries in the world in terms of per capita income, had a poverty rate of 38.7%.
Don't let us confuse the two figures. Local standards of living mean that the poverty rates are calculated quite differently, but even so, if African poverty is considered a bad thing, which it is, should we not be somewhat alarmed by a level of poverty in Spain that, in relative terms, is equally as bad?
Extremadura, as revealed by new figures from the INE (the Spanish national statistics office), is Spain's poorest region. And the Spanish are getting poorer. Provisional figures for 2011 suggest that there has been an increase of just over one percentage point, to 21.9%, of people in Spain who live below the breadline, defined in terms of a two-child family with an income of less than 15,820 euros a year.
The Balearics sit in the middle of the league table of rich and poor parts of Spain;20.6% of the population in 2010 existed in poverty, almost exactly the same as the national average of 20.7% last year. Taking the CIA's statistics, Spain, to put it bluntly, is the poorest country in western Europe. It is poorer than many countries in eastern Europe, and the Balearics are pretty much bang on the same mark.
National and regional wealth do paint a different picture. The Balearics, by GDP per head of population, is one of the wealthiest parts of Spain, and Spain is rated by the IMF as the twelfth richest nation in the world. Not that this necessarily counts for much when a country can get itself into such a crisis of debt. And there is no getting away from the fact that economic crisis has added to the level of poverty and from the fact that, regardless of GDP figures, there is real hardship in the Balearics and an increasing inequality in the distribution of wealth.
Among the various statistics that inform the INE's report is a measure of "delays in payments related to the main dwelling" (by which is meant ability to meet mortgage or rent payments, among others). On this measure, the Balearics are by far the worst region in Spain, by almost five percentage points more than the next poorest performing region, the Canary Islands.
Such a finding can be interpreted in different ways. It could be that people have overstretched themselves where mortgage commitments are concerned - which has certainly been the case - but it might also suggest that the Balearics, and property values in particular, are too expensive, relative to general earnings capacity.
If this is so, and one is inclined to believe it to be so, then the regional government's decision to unblock projects for more luxury property development and the fact that the luxury real-estate market is relatively buoyant at present (buoyant especially where overseas buyers are concerned) put the situation into sharper relief, and it borders on the obscene.
The national government and the regional government in the Balearics operate, by comparison with other European countries, from a low base when it comes to provisions of a welfare state. But what provisions there are, are due to fall to an even lower base. The Bauzá administration is entirely mute on the subject of welfare, save for its wishes to make cuts. And these cuts have so far been more drastic than in any other part of Spain, and we yet to have revealed the full horrors that await under a national Partido Popular government.
In a few days time, we will witness the physical manifestation of the absurdity that is the local economy. The dole queues will be snaking along streets, miles upon miles of humanity, looking for its annual handout from a government that is in no position to make it. Unemployment, greater levels of poverty, cuts to services, cuts to assistance, while all the time the government abrogates responsibility to the private sector and shows not the slightest interest in any form of welfare policy.
One in five people in the Balearics living in poverty, and rising. Two in five in Extremadura. And this is meant to be a wealthy country.
Any comments to andrew@thealcudiaguide.com please.
The two share a strikingly similar percentage in terms of their respective rates of poverty. The measures are different, as greatly different factors come into play, but the percentage of the population of Extremadura currently in poverty is 38%. In 2005, according to figures released by the CIA, Ethiopia, only six notches above the poorest two countries in the world in terms of per capita income, had a poverty rate of 38.7%.
Don't let us confuse the two figures. Local standards of living mean that the poverty rates are calculated quite differently, but even so, if African poverty is considered a bad thing, which it is, should we not be somewhat alarmed by a level of poverty in Spain that, in relative terms, is equally as bad?
Extremadura, as revealed by new figures from the INE (the Spanish national statistics office), is Spain's poorest region. And the Spanish are getting poorer. Provisional figures for 2011 suggest that there has been an increase of just over one percentage point, to 21.9%, of people in Spain who live below the breadline, defined in terms of a two-child family with an income of less than 15,820 euros a year.
The Balearics sit in the middle of the league table of rich and poor parts of Spain;20.6% of the population in 2010 existed in poverty, almost exactly the same as the national average of 20.7% last year. Taking the CIA's statistics, Spain, to put it bluntly, is the poorest country in western Europe. It is poorer than many countries in eastern Europe, and the Balearics are pretty much bang on the same mark.
National and regional wealth do paint a different picture. The Balearics, by GDP per head of population, is one of the wealthiest parts of Spain, and Spain is rated by the IMF as the twelfth richest nation in the world. Not that this necessarily counts for much when a country can get itself into such a crisis of debt. And there is no getting away from the fact that economic crisis has added to the level of poverty and from the fact that, regardless of GDP figures, there is real hardship in the Balearics and an increasing inequality in the distribution of wealth.
Among the various statistics that inform the INE's report is a measure of "delays in payments related to the main dwelling" (by which is meant ability to meet mortgage or rent payments, among others). On this measure, the Balearics are by far the worst region in Spain, by almost five percentage points more than the next poorest performing region, the Canary Islands.
Such a finding can be interpreted in different ways. It could be that people have overstretched themselves where mortgage commitments are concerned - which has certainly been the case - but it might also suggest that the Balearics, and property values in particular, are too expensive, relative to general earnings capacity.
If this is so, and one is inclined to believe it to be so, then the regional government's decision to unblock projects for more luxury property development and the fact that the luxury real-estate market is relatively buoyant at present (buoyant especially where overseas buyers are concerned) put the situation into sharper relief, and it borders on the obscene.
The national government and the regional government in the Balearics operate, by comparison with other European countries, from a low base when it comes to provisions of a welfare state. But what provisions there are, are due to fall to an even lower base. The Bauzá administration is entirely mute on the subject of welfare, save for its wishes to make cuts. And these cuts have so far been more drastic than in any other part of Spain, and we yet to have revealed the full horrors that await under a national Partido Popular government.
In a few days time, we will witness the physical manifestation of the absurdity that is the local economy. The dole queues will be snaking along streets, miles upon miles of humanity, looking for its annual handout from a government that is in no position to make it. Unemployment, greater levels of poverty, cuts to services, cuts to assistance, while all the time the government abrogates responsibility to the private sector and shows not the slightest interest in any form of welfare policy.
One in five people in the Balearics living in poverty, and rising. Two in five in Extremadura. And this is meant to be a wealthy country.
Any comments to andrew@thealcudiaguide.com please.
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