New agreement reached with physicians

Loyola Sullivan, Minister of Finance and President of Treasury Board, and John Ottenheimer, Minister of Health and Community Services, said today that government is pleased that a new Memorandum of Agreement has been reached between government and the Newfoundland and Labrador Medical Association (NLMA).

Minister Sullivan said negotiations with the NLMA have been ongoing since September of this year and is pleased those talks have resulted in a satisfactory settlement for both parties. "The new Memorandum of Agreement represents a positive step forward," said the minister. "We want to move forward together and continue to work with our physicians in good faith to achieve our common goal of ensuring the effective delivery of quality health care for all Newfoundlanders and Labradorians."

The minister added that that new Memorandum of Agreement is a demonstration of two parties working diligently in the spirit of cooperation to achieve a reasonable compromise that is conducive to the province�s current fiscal environment. Government successfully negotiated a zero per cent wage freeze over the first two years of the agreement, in keeping with its sound fiscal management strategy but agreed to a six per cent wage increase over the remaining two years consistent with agreements reached by other groups.

"The relationship with our physicians over the past couple of years has been a good one," said Minister Ottenheimer. "We have been cooperating on initiatives such as physician resource planning, which will help us to determine the projected physician resource requirements by anticipating the future population health needs of our province. Clearly, both the government and the NLMA share the same goals for our provincial health care system and these successful negotiations have cemented the cooperative partnership that exists between the parties."

Minister Ottenheimer also commented that he is pleased that the NLMA is prepared to work with the new Regional Integrated Health Authorities to ensure that all physicians deliver quality medical care in response to the health needs of their respective populations.

Minister Sullivan stressed that government values the work of physicians and will use the new four-year agreement as a solid foundation to build on for future negotiations. "We are committed to continue working with our physicians in addressing issues of mutual concern in a cooperative and respectful manner," said Minister Sullivan.

Photo #1:  Minister of Finance and Public Service Secretariat, Loyola Sullivan, and Newfoundland and Labrador Medical Association President Dr. Tom Costello sign the MOA earlier today.

Media contact:
Deborah Pennell, Communications, Public Service Secretariat, (709) 729-6830, 685-6612
Tansy Mundon, Communications, Health and Community Services, (709) 729-1377, 685-1741

2006 02 15        11:30 a.m.