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Ireland – CPL Resources top provider of agency staff to Health Service Executive

17 November 2014

Irish recruitment firm CPL Resources (CPL: ID) netted over €50 million in sales last year providing agency staff to the Irish Health Service Executive (HSE), earning more than €10 million more than its closest competitor, reports the Irish Independent

The €50.1 million paid to CPL Resources is almost equal to the HSE's total spend on recruitment agencies between January-September 2010, which totalled €52 million.

Jan O’Sullivan, the current Education Minister and former Labour Spokesperson for Health, in 2010 described the €52 million spend as "truly shocking", saying that it represented an "extraordinary waste" of taxpayer's money.

"This crazy situation has come about as a result of the public sector recruitment embargo. The government ban, which we were told would reduce the cost of running the health service, has had precisely the opposite effect. It is a classic case of a false economy," she said in 2010.

The public sector recruitment embargo was lifted in last month's budget, but had been firmly in place until then.

Ms O'Sullivan could not be reached by the Irish Independent for comment at the time of publication. CPL Resources declined to comment. The HSE also declined to comment when asked about its use of CPL Resources’ service or whether it has any other contracts with the recruitment company.

Approximately €238 million was spent by the HSE on agency staff last year, with spending up across all regions. Five major firms make up the bulk of the HSE's spending on agency staff. In addition to CPL Resources; Nurse on Call earned €39.8 million, Global Medics Ireland pocketed €26.8 million, while Locum Express and TTM Healthcare picked up €9.1 million and €6 million, respectively.

The provision of agency staff to a health service has also recently come under close scrutiny in the UK, with the Health Secretary Jeremy Hunt last week telling the National Health Services (NHS) to use fewer temporary staff and management consultants.

While the issues of cost cutting, the use of temporary and locum staff, and the growing discontent by the general public towards waste by health services are nothing new; Mr Hunt’s announcement and the lifting on the public sector recruitment embargo in Ireland could add further pressure on healthcare staffing providers.