Profiteers pushing aside Catholic aged care
New residential bed licences won by Catholic aged care providers reflect barely half their market share and have sparked speculation that the Howard Government is favouring commercial providers.
The Catholic Weekly reports that in the recent allocation of government-subsidised residential care bed licences, Catholic aged care providers picked up just 7% of new licences, although they account for 14% of the market. This compares to the 56% of new bed licences picked up by commercial providers, which is double their market share of 27%.
Catholic Health Australia director, Francis Sullivan, said he was astounded by the situation and how few licences Catholic aged care providers had received.
Pointing out that the purpose of commercial providers was to turn a profit, Mr Sullivan said: "This is an extraordinary imbalance, (and is) not even consistent with the growing market. It's a complete malapportionment."
"By definition they want to take profits out of the system," said Mr Sullivan. He contrasted this attitude with that of the non-profit sector which sees care "as a social good rather than a commodity".