Compensation Neutral 5

9-day hospital shutdown forces nurses to burn annual leave, union fights for pay

A planned shutdown at Perth's Mount Private Hospital has sparked a Fair Work Commission dispute after nurses were told they would not be paid for the 9-day closure, instead being pushed to take annual leave. The case tests employer obligations during infrastructure upgrades at a 24/7 essential service.

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Key Takeaways

  • A planned shutdown at Perth's Mount Private Hospital has sparked a Fair Work Commission dispute after nurses were told they would not be paid for the 9-day closure, instead being pushed to take annual leave.
  • The case tests employer obligations during infrastructure upgrades at a 24/7 essential service.

Mentioned

Mount Private Hospital company Healthscope company Bethesda Health Care company WA Labor company Australian Nursing and Midwifery Federation WA company Romina Raschilla person Fair Work Commission company

Key Intelligence

Key Facts

  1. 1Mount Private Hospital is a 170-bed facility in Perth, critical for specialist surgeries including cardiac procedures; its operator Healthscope has been in receivership for over 12 months.
  2. 2The hospital will undergo a planned shutdown from July 6 to July 13, 2026, to upgrade its fire system, with no staff, patients, or doctors allowed on site due to crane lifts.
  3. 3The Australian Nursing and Midwifery Federation WA (ANMF WA) lodged two disputes with the Fair Work Commission in June 2026 after Healthscope told employees they would not be paid during the 9-day shutdown, instead pushing annual leave or unpaid leave.
  4. 4WA Labor brokered a takeover by Bethesda Health Care in May 2026, which committed to offering jobs to existing staff, but the shutdown has created immediate financial stress and uncertainty for nurses.
  5. 5ANMF WA state secretary Romina Raschilla stated the situation has caused 'stress and financial burden' for members, arguing hospitals operate 24/7 and staff should be paid their appropriate wages.

Hospitals are a 24-hour, seven days a week, 365 days per year operation. In a planned shutdown, staff should be paid their appropriate wages and entitlements.

Romina Raschilla State Secretary, ANMF WA

Commenting on the dispute over unpaid shutdown

Analysis

Why Healthscope's approach may be legal
  • The shutdown is a planned infrastructure necessity, not an operational choice
  • No work is available on site due to crane lifts, so the stand-down could be seen as lawful
  • Bethesda has committed to offering jobs, securing long-term employment
Why nurses are fighting back
  • Hospitals are continuous operations; staff typically expect pay regardless of temporary closures
  • Forcing annual leave erodes earned benefits and causes financial stress
  • The union argues this sets a dangerous precedent for essential service workers during maintenance shutdowns

Analysis

When a 170-bed hospital shuts down for critical fire system upgrades, the question of who bears the cost becomes a flashpoint. For nurses at Mount Private Hospital, the answer from their employer was clear: they must use their own annual leave or go unpaid — a move that has landed two disputes at the Fair Work Commission and raised serious questions about workforce entitlements during corporate transitions.

A planned nine-day shutdown of Perth's Mount Private Hospital, a 170-bed facility critical for specialist surgeries including cardiac care, has sparked a bitter dispute between management and nurses over pay and entitlements. The shutdown, scheduled from July 6 to July 13, 2026, is to upgrade the hospital's fire system—a critical infrastructure project that requires crane lifts and a complete evacuation of the site. But it arrives amid a delicate transition: the hospital's operator, Healthscope, entered receivership more than 12 months ago, and only in May 2026 did WA Labor broker a takeover by Bethesda Health Care, promising to offer jobs to existing staff. The Australian Nursing and Midwifery Federation WA (ANMF WA) has now lodged two disputes with the Fair Work Commission after Healthscope informed employees they would not be paid during the shutdown, instead pushing staff to take annual leave or unpaid leave. Union state secretary Romina Raschilla argues that hospitals operate 24/7, 365 days a year, and that such a shutdown should not come at the cost of nurses' entitlements.

But it arrives amid a delicate transition: the hospital's operator, Healthscope, entered receivership more than 12 months ago, and only in May 2026 did WA Labor broker a takeover by Bethesda Health Care, promising to offer jobs to existing staff.

The situation highlights the vulnerability of healthcare workers during corporate transitions. While Bethesda's takeover offers long-term stability, the immediate announcement of an unpaid closure has frayed trust. For a workforce already stretched by WA's strained health system, the loss of wages—or forced erosion of leave balances—could exacerbate burnout and fuel attrition at a time when continuity of care is paramount. The hospital's role in providing cardiac surgery and specialist procedures means any disruption has knock-on effects across the public system, which relies on private capacity to manage elective waitlists.

From an industrial relations perspective, the Fair Work Commission disputes test the boundaries of employer obligations during planned operational shutdowns. Healthscope's stance that the shutdown is necessary for critical infrastructure and that no work is available on site may have legal merit, but the union's argument—that a hospital is a continuous operation and staff should be paid for their ordinary hours regardless—could set a precedent for the sector. The outcome will be closely watched by private hospital operators and nursing staff nationally, especially as many facilities face similar infrastructure upgrades and corporate restructurings.

What to Watch

The broader context is a healthcare system under severe pressure. Mount Private Hospital's beds are a vital piece of Western Australia's surgical capacity. Any reduction, even temporary, risks lengthening waiting lists for procedures like cardiac bypass surgery, which are often time-sensitive. The state government's active role in brokering the Bethesda deal underscores how politically charged private hospital closures have become. However, the handling of the shutdown has now become a political liability, with the union portraying the Labor-brokered deal as flawed if it does not protect workers' baseline rights.

Looking ahead, the transition to Bethesda ownership will require careful management of workforce morale and patient access. Bethesda has committed to offering jobs to existing staff, but the shutdown dispute could colour initial relations. If the Fair Work Commission rules in favour of the nurses, Healthscope may be forced to pay out wages for the period, setting a financial precedent. If not, the union may escalate with protected industrial action, further disrupting surgeries. The situation serves as a case study in the intersection of corporate rescue, infrastructure maintenance, and workforce rights in essential services.

Timeline

Timeline

  1. Healthscope enters receivership

  2. Takeover deal brokered

  3. Two disputes lodged with Fair Work Commission

  4. Planned shutdown begins

  5. Shutdown expected to end

Cite This Page

"9-day hospital shutdown forces nurses to burn annual leave, union fights for pay." HR & Workforce Intelligence Brief, August 1, 2026. https://gethrbrief.com/story/mount-private-hospital-shutdown-leave-dispute-hr

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