Health Minister Criticizes AG Report on Agency Nurses Spending

Auditor General Denise Hanrahan raised concerns about NL Health Services overspending on agency nurses during the pandemic. The health minister called the report 'wildly outrageous and very concerning' and directed the health authority to investigate possible fraud.

Jun 26, 2025 - 14:21
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Health Minister Criticizes AG Report on Agency Nurses Spending

Auditor General Denise Hanrahan has expressed her expectation for NL Health Services to recover improperly paid money for agency nursing. Hanrahan criticized the health authority for its lack of financial oversight, as revealed in her recent audit.

During the pandemic, the province heavily relied on agency nurses due to burnout and career exits of public RNs. Originally intended as a temporary solution, the use of agency nurses saw a significant surge in spending, from 18 million in 2022 to 132 million last year, with some payments deemed inappropriate.

Issues highlighted in the audit include staff engaging in costly leases with private nurses, millions paid for undocumented expenses, and rejected electric vehicle rental payments. Hanrahan made 15 recommendations, all of which have been accepted by NL Health Services, emphasizing the need to recover misappropriated funds and address potential fraud.

Health Minister Krista Lynn Howell described the report as 'wildly outrageous and very concerning,' particularly noting possible instances of fraud in multi-million dollar contracts. Howell emphasized the importance of oversight and directed NLHS to conduct an immediate review to address any fraudulent activities.

NL Health Services CEO Pat Parfrey defended the use of agency nurses during the critical staffing shortage, highlighting that the situation has since improved. Parfrey acknowledged the need for agency nurses during the peak of the pandemic and stressed the heroic efforts of healthcare workers during that challenging period.

According to the source: VOCM.

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