Peak Industry Body Calls for Overseas Psychiatrists to Ease Crisis

Photo illustration dated January 2020 of a teenage girl showing signs of mental health issues. PA

The Australian Private Hospitals Association (APHA) has urged the federal government to lift the 10-year moratorium on overseas-trained psychiatrists to address the worsening mental health crisis.

This call follows the resignation of 205 public system psychiatrists in New South Wales (NSW) after the state government refused their demand for a 25 percent salary increase.

The APHA argues that lifting restrictions would allow overseas-trained psychiatrists to provide in-hospital consultations in private hospitals, helping to ease the strain on the mental health system.

APHA CEO Brett Heffernan criticised the delay in government action, stating that bureaucratic red tape is denying Australians access to the mental healthcare they urgently need.

“With public hospitals overwhelmed and record waiting lists, Australians are being let down due to ministerial inaction,” he said.

The APHA said the current moratorium restricts overseas-trained doctors to specific areas of workforce shortages, failing to recognise the growing need for private inpatient psychiatric services.

“The backlog of patients needing hospital care has exploded post-pandemic, and the demand for treatment of moderate-to-severe mental illness is critical,” Heffernan added.

The association has advocated for changes for the past two years, reiterating the urgency in November during the Private Hospital Viability Health Check.

The government’s decision to postpone any action until after the federal election has been labelled “unconscionable and untenable.”

One in Four Psychiatry Positions Remains Vacant

A severe shortage of psychiatrists in NSW and the Australian Capital Territory is placing immense pressure on public mental health services, according to the National Library of Medicine.

One in four funded psychiatrist positions remain unfilled.

A 2024 survey by the Royal Australian and New Zealand College of Psychiatrists (RANZCP) found that 90 percent of psychiatrists and trainees believe workforce shortages negatively affect patient care.

The report highlighted that 70 percent of psychiatrists are experiencing burnout, with 82 percent attributing it to staff shortages.

Concerns over retention are rising, as 33 percent of psychiatrists, 13 percent of trainees, and 14 percent of early career psychiatrists are considering leaving the profession within the next three years.

Government Struggles to Prevent Mass Resignations

In response to the crisis, NSW Health Secretary Susan Pearce has directed administrative staff to temporarily pause processing psychiatrist resignations to prevent an “administrative nightmare.”

The government is working to verify the resignations and seek potential solutions.

Currently, NSW has over 450 psychiatry positions in the public healthcare system, with approximately 30 percent vacant.

If the 205 resignations go through, fewer than 100 public psychiatrists will be left to meet patient needs.

NSW Premier Chris Minns said the state cannot afford the requested 25 percent pay rise and has instead offered a 10.5 percent increase over three years.

He pointed out that the government had already boosted the public mental health budget in response to previous demands.

Public psychiatrists in NSW earn a base salary of $186,000, with senior staff earning up to $251,000, plus superannuation and other benefits.

Minns acknowledged the importance of mental health funding but argued that the proposed pay hike was unreasonable.

“We’ve already increased funding to improve public mental health services, and we’ve done it because it’s critical to public safety,” Minns said.