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	<title>Hundred Pockets &#187; healthcare</title>
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	<link>http://www.hundredpockets.com</link>
	<description>A UK economist asks: what just happened?</description>
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		<title>ask a question&#8230;</title>
		<link>http://www.hundredpockets.com/2009/09/ask-a-question/</link>
		<comments>http://www.hundredpockets.com/2009/09/ask-a-question/#comments</comments>
		<pubDate>Thu, 03 Sep 2009 15:12:53 +0000</pubDate>
		<dc:creator>Pockets</dc:creator>
				<category><![CDATA[economics]]></category>
		<category><![CDATA[healthcare]]></category>

		<guid isPermaLink="false">http://www.hundredpockets.com/?p=127</guid>
		<description><![CDATA[&#8230; and receive an answer (courtesy of the FT). In my previous post I wondered why the government was announcing that it wouldn&#8217;t cut jobs in the NHS. Now I know:
The analysis [which cutting 10% of the workforce], undertaken by McKinsey for the Department [of Health] in March, has been leaked to the Health Service [...]]]></description>
			<content:encoded><![CDATA[<p>&#8230; and receive an answer (courtesy of the <a href="http://www.ft.com/cms/s/0/4d9e5554-97e3-11de-8d3d-00144feabdc0.html">FT</a>). In my previous <a href="http://www.hundredpockets.com/2009/09/announcing-the-absence-of-cuts-but-why/">post</a> I wondered why the government was announcing that it <em>wouldn&#8217;t</em> cut jobs in the NHS. Now I know:</p>
<blockquote><p>The analysis [which cutting 10% of the workforce], undertaken by McKinsey for the Department [of Health] in March, has been leaked to the <a href="http://www.hsj.co.uk/" target="_blank">Health Service Journal</a>, bringing a panicked reaction on Wednesday from health ministers.</p></blockquote>
<p>So that&#8217;s number (3) on my list of possible explanations. Good to know I was right to be baffled&#8230;</p>
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		<title>announcing the absence of cuts &#8211; but why?</title>
		<link>http://www.hundredpockets.com/2009/09/announcing-the-absence-of-cuts-but-why/</link>
		<comments>http://www.hundredpockets.com/2009/09/announcing-the-absence-of-cuts-but-why/#comments</comments>
		<pubDate>Thu, 03 Sep 2009 09:24:14 +0000</pubDate>
		<dc:creator>Pockets</dc:creator>
				<category><![CDATA[election]]></category>
		<category><![CDATA[healthcare]]></category>

		<guid isPermaLink="false">http://www.hundredpockets.com/?p=124</guid>
		<description><![CDATA[This story confuses me.
The government says it has rejected advice from management consultants to cut the NHS workforce in England by 10% over the next five years.
The plans to close 137,000 clinical and admin posts were proposed by McKinsey and Company to save £20bn by 2014.
Why announce that you&#8217;re not making cuts? Why announce that [...]]]></description>
			<content:encoded><![CDATA[<p><a href="http://news.bbc.co.uk/1/hi/health/8234841.stm">This</a> story confuses me.</p>
<blockquote><p>The government says it has rejected advice from management consultants to cut the NHS workforce in England by 10% over the next five years.</p>
<p>The plans to close 137,000 clinical and admin posts were proposed by McKinsey and Company to save £20bn by 2014.</p></blockquote>
<p>Why announce that you&#8217;re <em>not</em> making cuts? Why announce that a huge and respected management consultancy believe that you need to make cuts, but that you&#8217;re rejecting this advice &#8211; which you paid for&#8230;?</p>
<p>The very word &#8216;cuts&#8217; is demotivating to staff. I&#8217;ve worked in companies when the management said: &#8220;We&#8217;re doing everything we can to avoid cutbacks.&#8221; The only word that people hear in that sentence is &#8216;cutbacks&#8217;.</p>
<p>So what is the government doing &#8216;announcing&#8217; this? Some possibilities:</p>
<ol>
<li>It&#8217;s all about the political narrative for the election. Labour standing firm in the face of proposed cuts &#8211; even when those cuts are proposed by people the government is paying.</li>
<li>It&#8217;s softening up the workforce, and the public. When companies say &#8220;We&#8217;re fighting to avoid job cuts&#8221;, what follows soon enough is: job cuts. (At least that was my experience&#8230;)</li>
<li>The McKinsey report was leaked, or was going to be leaked, so the government had to respond forcefully. Even though they&#8217;d rather the whole thing had remained private.</li>
</ol>
<p>I can&#8217;t choose between these. All three, perhaps?</p>
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