Medical intern crisis won’t be solved with just more hospital places

Almost two hundred medical students from diverse countries have just finished their medical education as full-fee-paying students. They’re now looking for the one year of employment (internship) they need to be registered in Australia as medical practitioners. But on current indications, up to half will…

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Taxpayers should get something in return for their investment – good doctors, where they’re needed. UoNottingham

Almost two hundred medical students from diverse countries have just finished their medical education as full-fee-paying students. They’re now looking for the one year of employment (internship) they need to be registered in Australia as medical practitioners. But on current indications, up to half will miss out.

In their intern year, successful applicants will be paid a salary which is well above average weekly earnings. And depending on shift penalties and overtime, their take home pay could be quite handsome, with good prospects for salary escalation over their next few years.

These international students have all paid significant fees for their medical education (typically at least $60,000 per year), and many assumed that internships would be available for them on graduation, leading to Australian medical registration and permanent residence here. There has been much commentary about their plight, in the print and online media, in professional journals and on The Conversation.

Given the length of medical education – typically five years for an undergraduate degree – the policy dilemma has been foreshadowed for years. But it is only in the past few months that the Commonwealth government has owned the problem and offered partial support to states to create the additional positions required.

Creating internships costs money and, despite the impact on the individuals affected, governments need to decide if that investment is good policy and will lead to more medical practitioners of the kind required – in the locations required. Simply creating more intern positions and hoping for the best is not the right policy response.

So how did we get in this mess?

The Commonwealth government has funded a massive expansion of medical education over the past decade leading to a doubling of the number of domestic graduates from around 1,400 a year in 2000 to 2,733 in 2010. This wave is just now hitting state-funded public hospitals.

There was a concomitant second expansion of medical education as universities decided to admit more international students, chasing a lucrative market. The number of international students graduating has tripled over the period 1999 (144 graduates) to 2010 (474).

Internships are primarily training positions, converting raw graduates into registrable professionals. So hospitals, even quite large ones, can function quite efficiently without this workforce category.

Hospitals and state governments argue they don’t have the capacity to accommodate all the new graduates: Australian and full-fee payers. They don’t have the funds, nor do they have enough senior doctors who can divert their time to training and supervising junior doctors.

The graduates argue that an Australian internship will mean they’ll stay in Australia and enter the workforce here. But if the graduates do complete an internship, and are given Australian residency, there will be further demands to create additional positions to allow these students to train as general practitioners or in other specialties.

Internships are primarily training positions, converting raw graduates into registrable professionals. uonottingham

Health Workforce Australia has recently published a report which suggests that, based on current work patterns, Australia will face a medical workforce shortage in 2025. But rather than simply expanding training places, as we’ve done in the past, we need to consider alternative strategies to improve medical workforce productivity. The right response could transform the shortage into a surplus.

The trade-offs

Medical graduates are among the highest income earners in Australia. A recent Grattan Institute report which analysed census data showed medical graduates had the highest net lifetime earnings of all graduates. Surgeons, anaesthetists and internal medicine specialists are the three occupational groups with the highest mean taxable income in Australia, ahead of “financial dealers”. The private benefits from medical education are large.

So are these new graduates doing Australia a good turn by paying for their own education and helping to reduce the putative medical workforce shortage? Or are they just another bunch of whingeing graduates with an unjustified sense of entitlement?

The answer probably lies somewhere in the middle. The salary paid to interns is probably excessive: normally situations where supply dramatically exceeds demand would be accompanied by reductions in price. Reducing the salary (which will probably require a reconceptualization of the intern year, emphasising its training intent) will reduce the cost of this training provision and make it more affordable to governments.

Health Minister Tanya Plibersek has indicated that states which offer these training positions can guide the graduates into areas where there is a clear shortage, through bonding and other arrangements. This should be a minimum condition for creating the new internships. Such a strategy should then reduce reliance on doctors trained overseas who are often the only ones who can be recruited to work in these areas of need.

Different states face different market positions, with New South Wales and Victoria, the two states which face few difficulties in staffing their public hospitals, having little incentive to expand internships. This will partially explain their negative responses to the Commonwealth offer of partial subsidies to expand intern training.

But strategies such as these can be mutually beneficial: ensuring new graduates get jobs (and training), while the taxpayers who pay the salaries win out by getting good doctors in the right places.

Join the conversation

24 Comments sorted by

  1. Craig Minns

    Self-employed

    I was interested to note that the good doctor doesn't mention that the doubling in the medical graduate numbers includes 50% women, who will be, on average, considerably less productive across their working life and will disproportionately choose to specialise in general practise. Moreover, women's unwillingness to work the hours that their male colleagues put it has deleterious effects on the willingness of those men to do so.

    If the purpose is to discuss the return on investment from training…

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    1. Craig Minns

      Self-employed

      In reply to Craig Minns

      One other thing I only just noticed is that Ms Plibersek is proposing a bonding scheme for interns to be placed in specific needful locations as a quid pro quo for being funded in an internship.

      I wonder if she might be interested in an extension of that scheme for all medical graduates to commit to a certain workload and to other such conditions as might be necessary to help the projected shortages, both geographically and in specialties.

      It's expensive to train doctors, who do very well out of being trained. It seems reasonable to expect that the community might require some say in their disposition once that training is done.

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    2. Sue Ieraci

      Public hospital clinician

      In reply to Craig Minns

      Craig Minns - there is real workforce data in this area (which will save you having to give an uninformed opinion). It is collected by the Australian Health and Medical Workforce Committee (AHMAC).

      While it is true that there are many more women in medicine than there were in the 1960's, the real change is not so much "feminisation" as "humanisation" of the medical workforce - both men and women are working less hours and wanting more time with family and life outside work.

      This is magnified by the changes to safe work practices, which seek to limit the excess hours that add risk due to impaired performance and thought processes.

      The days of the solo GP who did all his own housecalls, delivered your baby and took out your appendix are gone (except, perhaps, in remote areas). This is not just because of Gen Y lifestyle needs, but also due to increasing community expectations and risk aversion, with an intolerance for imperfect outcomes.

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    3. Ulf Steinvorth

      Doctor

      In reply to Craig Minns

      Craig, it sounds as if you are suggesting that adding women to the workforce is inefficient and that reducing working hours in medicine is the wrong direction altogether.

      Are we better off with 'The Man' working 60+ hours a week, getting tired and making mistakes while 'The Missus' is at home with the kids (who barely know their fathers), working at least as much if not more, only unpaid and obviously unnoticed by 'efficiency' experts?

      By the way, General Practice is the most common and one of the most needed and most efficient specialties in medicine, so women should be even more encouraged to join the medical profession - apart from all the 'soft skills' that you conveniently forgot to mention altogether. Just because someone does longer hours doesn't mean a better health outcome for the public.

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    4. Craig Minns

      Self-employed

      In reply to Craig Minns

      Ulf, I'm afraid you've presented a false dichotomy in a couple of ways and seem to have misunderstood the problem in a couple of other.

      Firstly, the alternatives are not "60 hour week or nothing". Lots of people in industries that are not as vital as medicine work significantly more hours than the hours given by Sue's last reference. I know truck drivers, machine operators, carpenters, boilermakers, accountants, small business operators, who all work much longer than that report described. The…

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  2. Sue Ieraci

    Public hospital clinician

    "Internships are primarily training positions, converting raw graduates into registrable professionals. So hospitals, even quite large ones, can function quite efficiently without this workforce category."

    Internships combine training and service.

    Certainly there are hospitals working efficiently without interns - such as every private hospital in Australia. The public health system certainly both contains the intern workforce and provides the training and experience.

    But who provides the…

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  3. Trent Yarwood

    Infectious Diseases Physician at Queensland Health and Associate Lecturer at University of Queensland

    Stephen clearly makes the point he thinks our junior doctors are overpaid -

    "intern[s]...paid a salary which is well above average weekly earnings"
    "...their take home pay could be quite handsome..."
    "...good prospects for salary escalation over their next few years"
    "Medical graduates are among the highest income earners in Australia."
    "highest net lifetime earnings of all graduates"
    "Surgeons, anaesthetists and internal medicine specialists are the three occupational groups with the highest…

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    1. Craig Minns

      Self-employed

      In reply to Trent Yarwood

      Trent, after wondering"just why the hell you wanted to do this" have you or anybody you know decided they'd be better off driving a truck for a living?

      If not, what's your point?

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  4. Craig Minns

    Self-employed

    Yes Sue, I have referred to the AMWAC data previously.

    I've also referred to the KPMG study on behalf of the AHWO, which was the body that superceded the AMWAC. Both of those bodies recognise that women practitioners are considerably less productive than their male colleagues. No guessing involved, Sue. I first mentioned both of these studies a moth or two ago. It's pleasing that you seem to have finally become aware of them.

    The KPMG study refers to the OECD's comment that "all thngs being equal, an increase in female participation will lead to a reduction in capacity". As the author of this article seems to be ignoring this rather large elephant in the emergency department, I'd be interested to learn why. Wouldn't you?

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    1. Sue Ieraci

      Public hospital clinician

      In reply to Craig Minns

      Craig Minns - perhaps you should read more carefully.

      Here is an extract from HWA "Australia’s Health Workforce Series
      Doctors in focus 2012":

      "Female doctors’ average weekly working hours in 2009 were 37.5 – less than the overall average of 42.2. However female doctors have experienced little change in their average weekly working hours over time, working an average of 38.4 hours in 1999. Male
      doctors’ average weekly working hours fell approximately four hours between 1999 and 2009, from…

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    2. Craig Minns

      Self-employed

      In reply to Craig Minns

      Sue, I read very well, thanks. You are simply confirming the findings from AMWAC (women have a working life approximately 60% that of their male colleagues) and of the AHWO study ( women work approximately 80% of the hours per week that their male colleagues work).

      Given that the male doctors are seeing their female colleagues work less for the same pay, it's hardly rocket science for them to work out that by working the longer hours that the job demands they are simply subsidising their female…

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    3. Craig Minns

      Self-employed

      In reply to Craig Minns

      Further to my last,from the publication: "http://www.ahwo.gov.au/documents/Publications/2003/The%20specialist%20emergency%20medical%20workforce%20in%20Australia.pdf";

      "While male emergency physicians work, on average, 4.4 hours per week more than their female
      counterparts, the difference in average hours worked by gender is comparable with other
      specialists. Male general medicine specialists work, on average, 2.6 more hours per week than
      their female counterparts, and male paediatric specialists…

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  5. Stephen Duckett

    Director, Health Program at Grattan Institute

    Craig: Yes, the increasing proportion of women is important, and so too that men are working fewer hours. Both these issues have been taken into account in the Health Workforce Australia work.

    Sue: Thanks for your comments and responses. You're right I didn't emphasise the fact that there are two rate limiting factors, money and capacity to supervise. I only alluded to the latter in describing the responses of states. I'll plead word limit constraints! Bonding has had a bad name, but if we are to address the real problems of access in rural and remote Australia, we'll have to do something quite different from what we've done before.

    Trent: Most private hospitals survive quite happily without interns.

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    1. Blaise Wardle

      logged in via Twitter

      In reply to Stephen Duckett

      With regard to most private hospitals surviving quite happily without interns:

      As Sue mentioned "But who provides the workforce for the tasks provided by interns in private hospitals? Other categories of staff - who are likely to be paid more than interns."

      It's definitely only most, not all private hospitals, I agree with you on that point. However it is not all of them. I have been told that the SAN private hospital in NSW is absolutely desperate for interns because they have so much work!

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    2. Trent Yarwood

      Infectious Diseases Physician at Queensland Health and Associate Lecturer at University of Queensland

      In reply to Stephen Duckett

      Agree with what Blaise said. The private hospital I visit at pays a hospital medical officer to do the intern/resident duties. Admittedly there's only one on for the entire hospital rather than one per team, but they do get paid at least double what your average public hospital intern gets paid.

      There are a myriad of issues an economic rationalist approach misses out on. Shunting doctors to areas of need early in their training denies those same doctors the chance to get specialist skills they…

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    3. Craig Minns

      Self-employed

      In reply to Stephen Duckett

      Stephen, with respect, the report you linked to doen't mention the impact of gender-related changes at all. Under the heading "The Demographic Challenge" in S 2.2 it discusses aging of the workforce and population, but nothing else. Given that the female medical workforce is approximately 25% less productive (all things being equal) than their male colleagues, surely the simplest way to improve productivity to meet projected demand is to increase male participation. The report uses a "high-productivity scenario of a 5% improvement: that 5% could be achieved by simply changing the gender mix from 50:50 to 60:40 in favour of young men at the educational entry point.

      Why do we persist in pursuing a feminist model that creates poorer outcomes?

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  6. Stephen Duckett

    Director, Health Program at Grattan Institute

    Yes Trent there is a real human dimension to this issue, which is not lost on me but there is a need to balance the personal plight and the public interest. As I said in my piece, it should be possible to design policies which are mutually beneficial. Give the new graduates internships in exchange for something of clear public policy benefit. That may be commitments to work in areas of need, or some other exchange.

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    1. Craig Minns

      Self-employed

      In reply to Stephen Duckett

      Stephen, I'm pleased to see somebody suggesting some form of quid pro quo. It should be more widely adopted.

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  7. Dale Bloom

    Analyst

    This seems to be a scheme of “give with the right hand”, and then “take back with the left hand”.

    The fee paying students pay universities money, and then they want Australian residency, and then they want to charge the Australian public large amounts to recoup their money they have paid to the universities.

    The infrastructure costs for a new immigrant are also paid by the public.

    About the only people to benefit from this scheme are some university personnel who get the fees from the students, and the public are being ripped off all the way through.

    Meanwhile, Australia appears to be already above average amongst OECD countries for doctors per 1000 people, and the belief that Australia has a doctor shortage is a myth.

    http://apps.who.int/gho/data/?vid=92100

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    1. Craig Minns

      Self-employed

      In reply to Dale Bloom

      Dale, according to the chart in the link you provided, Australia in 2009 had about the same medical service as Argentina in 2004, except that we had a whole lot more nurse/midwives.

      Is that a model worthy of the aspiration?

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    2. Dale Bloom

      Analyst

      In reply to Dale Bloom

      Craig Minns
      The education of the so-called fee paying medical student is simply a way of getting money from the public, and paying it to university staff.

      That is, money is paid by the public to a doctor, who then pays it to a university to recoup their university fees.

      So the eventual transfer of money is from members of the public to university staff.

      The WHO chart shows physicians per 1000 people.

      Australia 2.991
      Austria 4.85
      Belgium 3.001
      France 3.45
      Japan 2.14
      Finland 2.91
      New Zealand 2.74
      UK 2.74
      US 2.42

      So Australia has a doctors shortage, unless countries such as Japan, Finland, New Zealand, UK and the US etc are considered.

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    3. Blaise Ashley

      logged in via Facebook

      In reply to Dale Bloom

      Dale: Australia's number of doctors is currently propped up by importing close to 3000 overseas trained doctors per year - more than any other developed nation.

      Not only does this go against Australia's stated goal of health workforce self-sufficiency (as recommended by the WHO) that was adopted in 2004, it carries significant ethical issues with it.
      (http://rcpsc.medical.org/publicpolicy/imwc/Medical_self_sufficiency_Australia.pdf)

      One of these issues is the poaching of doctors that may be from developing nations that can ill-afford to lose their doctors. Another issue has to do with the amount of support offered to these imported doctors who then end up with significant difficulties adjusting to the system in Australia which results in more patient complaints against them.
      (http://www.mjainsight.com.au/view?post=Give+IMGs+support+to+succeed&post_id=11149&cat=news-and-research)

      The doctor shortage is NOT a myth. It is a fact.

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    4. Ulf Steinvorth

      Doctor

      In reply to Dale Bloom

      Dear Blaise,

      you make some valid points - is it ethical to let taxpayers from other, often poorer countries fund the expensive training of over 1/4 of the medical workforce maintaining Australian health?

      Yet the study you quote to question the qualifications of overseas trained doctors mentions quite clearly that even though Australian doctors only made up 63% of the medical workforce investigated they attracted 70% of all complaints.

      It goes on to differentiate its findings: 'It was not…

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    5. Sue Ieraci

      Public hospital clinician

      In reply to Dale Bloom

      Dale Bloom - the dismal model of money exchange that you propose applies to all education - right from pre-school.

      People pay to be educated - either through fees, or taxes, or both. That education then eventually contributes to their money-earning capacity, with which they repay the education fees and taxes, which pay the teachers.

      Are "analysts" somehow exempted from this cycle? No other humans seem to be.

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