Senior RCH staff rally to save chief executive Bernadette McDonald from being ousted

The Royal Children’s Hospital has warned of significant job losses and program closures as top staff rally to keep chief executive Bernadette McDonald after it was revealed she would potentially be replaced at the end of her term.

The Department of Health has demanded the RCH launch a search for a potential replacement of Bernadette McDonald. Picture: David Crosling

The Royal Children’s Hospital has warned of significant job losses and program closures ahead.

Leaked internal hospital documents show up to 15 jobs are at risk while units including the Academic Child Psychiatry Unit are under threat.

It comes as staff have started a grassroots campaign to save respected CEO Bernadette McDonald from being ousted.

In a move that has outraged senior doctors and nurses at the hospital, the Department of Health has demanded the hospital launch a search for a potential replacement of Ms McDonald whose contract is due to end in September.

It had been widely expected Ms McDonald’s contract would be extended.

However, hospital chair Dr Rowena Coutts wrote to staff on Tuesday to explain a committee would be set up to find a potential replacement.

“I want to share with you an important update on the leadership at the Royal Children’s Hospital (RCH),” she wrote to staff in an email obtained by the Herald Sun.

“CEO Bernadette McDonald’s three-year term comes to an end in September.

“To maintain the global profile of the RCH, the Department of Health has asked the RCH Board to establish a search committee for the future CEO position. The board will be commencing the process as soon as possible. We will share more with you about next steps as this progresses.”

It had been widely expected Ms McDonald’s contract would be extended. Picture: David Caird

Ms McDonald is on a period of planned leave and is expected to return to work next week.

However rumours of her pending resignation circulated among senior hospital staff on Tuesday but were denied by the hospital.

Senior health sources said top-level staff had “gone into bat” for the CEO in a bid to ensure her contract is extended.

Health Minister Mary-Anne Thomas refused to answer when asked if she was satisfied with Ms McDonald’s work.

“I’m not going to be commenting on this because this is not my decision,” she said.

“These are conversations that are happening between my department and the board of the Royal Children’s Hospital.”

Ms Thomas told reporters she would not apologise for “wanting excellence in our health service system”.

“In general terms, when our highly paid senior leaders’ contracts expire, it is not uncommon to go to market to ensure that we are giving everyone an opportunity to apply for these roles and to ensure that we have the very best leaders.”

Health Minister Mary-Anne Thomas refused to answer when asked if she was satisfied with Ms McDonald’s work. Picture: Kelly Barnes

Opposition health spokeswoman Georgie Crozier said job cuts at respected and critical health services were proof of the government’s economic mismanagement.

“So many families have received life-changing treatment from the Royal Children’s Hospital. This health service deserves to be properly supported,” she said.

A RCH spokeswoman said: “The proposed changes to RCH Mental Health will not impact frontline services. The proposed changes impact historic programs.”