NSW Health Settles Junior Doctor Underpayment Class Action for $230 Million

NSW Health Settles Junior Doctor Underpayment Class Action for $230 Million

A class action lawsuit alleging NSW Health underpaid junior doctors has been settled for nearly a quarter of a billion dollars. The settlement, which is the largest underpayment class action outcome in Australian legal history, will see more than 20,000 junior doctors potentially eligible to claim a share of the $230 million payout.

The lawsuit was brought by Dr Amireh Fakhouri on behalf of junior doctors who worked in the state's public health system between December 2014 and December 2020. Dr Fakhouri alleged that NSW Health failed to pay overtime and weekend meal break entitlements owed to her and her colleagues.

While Dr Fakhouri acknowledges the financial compensation, she emphasizes that the case was primarily about achieving systemic change. "It's not going to make a difference to our income, but it's about the changes that we're making," she said.

Health Minister Ryan Park acknowledges the need for further improvement despite the progress made in addressing the payment concerns. "I'm not saying we fixed it, but we've made a big indent in the last 12 months," he said.

Greens NSW health spokesperson Dr Amanda Cohn, a former GP and emergency doctor, highlights the traumatic experiences of junior doctors within the hierarchical hospital system. "I became a GP for many reasons, but one of them was to get out of the brutally hierarchical hospital system that made it hard to turn up to work every day," Dr Cohn said.

Dr Fakhouri's lawyer Hayden Stephens emphasizes the positive impact of the settlement on the treatment of junior doctors. "This landmark settlement now represents a seismic shift in the way junior doctors are treated in their workplace," Mr Stephens said.

Maurice Blackburn principal Rebecca Gilsenan confirms that the class action has already led to improvements in the workplace. "Our clients report that NSW Health has already implemented several improvements in the workplace," Ms Gilsenan said.

The settlement is subject to approval by the Supreme Court of NSW. If approved, a process for assessing the claims of current and former doctors will begin this year.