Hospitals warn of ‘slowdown’ over 50% medicine price cut

After a planned hospital holiday fizzled out, a group of private hospitals warned of a work slowdown if a 50-percent price cut for 43 medicines is enforced starting August 15. Private Hospitals Association of the Philippines (PHAP) lawyer Bu Castro expressed fears Wednesday that the medicine price slash could lead to revenue losses for the hospitals and eventually to delay in the release of salary or even salary reduction. As a result, Castro hinted that some doctors, nurses and medical workers might find reason not to report for work if a salary cut or delay ever gets implemented. “Mag-uusap muna na kung puwedeng i-delay muna ang suweldo nila kasi walang pagkukunan... Di magsasara. Kung gusto nila pumasok, nasa kanila iyan. Kung ayaw din pumasok dahil madede-delay ang suweldo, nasa kanila rin 'yan... 'Di natin alam kung may papasok o wala, magme-meeting pa sila," Castro said in an interview on dzXL radio. (Groups of doctors, and nurses and medical workers will have to discuss among themselves if they will still report for duty if ever the hospital administration decides on cutting down their salaries.) “Bukas ang mga hospital. Ang problema, may papasok bang empleyado? (The hospitals will remain open, but the question is, will their employees report for work)?" he added. On Tuesday, health officials said they managed to at least partially defuse the PHAP’s threat of a hospital holiday after a meeting with representatives of hospitals. Dr. Robert So, head executive assistant to Health Secretary Francisco Duque III, assured that representatives of private hospitals promised not to take part in the planned hospital holiday. So said they explained to the representatives at the meeting that pharmaceutical companies agreed to shoulder the 50-percent price difference through rebates or other mechanisms. Grace period Castro said PHAP members were supposed to seek a six-month grace period to comply with the Cheaper Medicines Act, saying its members could face losses. But he said that with pharmaceutical firms agreeing to shoulder the price difference, the issue may soon be moot. Nonetheless, Castro still sought a commitment in writing from the government and the pharmaceutical firms. “Dati di sinasabi yan, nabasa nalang namin sa dyaryo ngayon na pumayag sila. E kung sinabi nila yan noon pa, wala na sanang problema (Pharmaceutical firms did not say they will shoulder the price difference. We just learned about it from today’s (Wednesday) newspapers. Had they said they would, we wouldn’t have a problem in the first place)," he said. “Siguro mag-uusap sila ng Malacañang, tapos sabihin nila bago mag-Aug. 15. Dapat palitan nila ang stock ng hospital batay na sa bagong presyo (We hope pharmaceutical firms will meet with Malacañang and say in writing they will shoulder the price difference. They should do so before the August 15 deadline for the 50-percent cut on prices of selected medicines to make sure the enforcement of the law would be smooth)," he added.

Meanwhile, Health Undersecretary Alex Padilla said they have already completed the list of the second batch of medicines that would be subject to 50-percent price reduction. In an interview on GMA’s Unang Balita, Padilla said around 84 drug products have been included in the second batch. “Again, these products are subject to either voluntary or mandatory price cuts under the maximum retail price policy," Padilla said. When asked what sanctions participants of a hospital holiday would face, Padilla said: "For public hospitals the action is totally prohibited." He said public doctors and hospital officials instigating and participating in such holidays could face suspension or termination. As for private hospitals, he cited Health Secretary Duque’s earlier statement saying they risk losing government accreditation, such as with PhilHealth.- GMANews.TV