Approval of budget overruns in specific expenditure categories of the State Health Services Organization (OKYPY) for 2025, through the reallocation of funds totaling €14.5 million, without changing the total expenditures of the approved budget, was approved on Thursday by the Plenary Session of the House of Representatives.
Thirty-one Members of Parliament voted in favor, while six voted against—the Members of Parliament from the ALMA movement and DIKO Members Chrysanthos Savvides and Zacharias Koulias.
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The debate was accompanied by sharp criticism from MPs regarding the organization’s management, increased doctors’ salaries and overtime costs, delays at public hospitals, and the delay in their autonomy. At the same time, different approaches were put forward regarding the need to support OKYPY and ensure the sustainability of the public health sector.
The President of the ALMA Movement, Odysseas Michaelides, strongly disagreed with the management of OKYPY, noting that the amendment essentially concerns retroactive increases in doctors’ salaries. He added that the average annual salary for doctors at the Organization amounts to €150,000, citing the case of a doctor who earned €320,000 per year. He also said that a comparison of salaries with those of doctors at the OAY had been requested, but no data had been provided.
He raised the issue of the delay in the autonomy of the OKYPY, which has been postponed until the end of 2026, as well as its dependence on increased contributions from the OAY and the Ministry of Health, which, he argued, conceal the actual deficits. He also referred to the loss of patients, particularly outpatients, arguing that this demonstrates a decline in confidence in public hospitals. He announced that he would vote against the amendment, stating that he does not trust the Organization.
DIKO MP Chrysanthos Savvides also leveled strong criticism, comparing the General Health System (GESY) to a child going through a difficult adolescence, noting that, despite his party’s contribution to its creation, the trajectory of public hospitals is cause for concern. He emphasized that they are the backbone of the system and that financial support for OKYPY cannot continue without meaningful oversight and accountability.
He referred to significant delays in the emergency rooms and in patient care, citing the case of a patient with a serious health problem who, he said, was given an examination date of April 4, 2028. He also raised infrastructure issues at Paphos Hospital, noting that the cafeteria remains closed and the restrooms have been shut down. He called for the hospital’s administrative autonomy, as it currently operates as a branch of Limassol Hospital, while criticizing the plan to hire an operational director rather than an executive director. He announced that he would vote against the amendment, stating that “either we will exercise oversight, or the waste will continue.”
AKEL MP Marina Nikolaou clarified that the amendment concerns the reallocation of already approved expenditures and not a budget increase. She noted that AKEL will vote in favor of it, though this does not mean that it supports the OKYPY budget as a whole. He said that the issues raised would be brought to the attention of the Minister of Health during the budget debate, emphasizing that the Ministry must not be relieved of its supervisory responsibilities. She also requested that an assessment be made of whether the ongoing payment of overtime due to staff shortages is more cost-effective than creating permanent positions.
The Chair of the Health Committee, DISY MP, Savia Orfanidou, noted that the bill concerns the transfer of funds to cover OKYPY’s obligations to doctors and staff, and not its overall financial management. She said that criticisms regarding the Organization’s operations should be discussed during the review of its budget. He emphasized that public hospitals are a key pillar of the General Healthcare System (GESY) and should already have been made autonomous, clarifying that the criticism is intended to improve them, not to weaken them.
ALMA MP Irini Charalambidou countered that problems and delays are also evident in the private sector, where, as she noted, the situation is even worse and more dangerous. She appealed for public hospitals not to be singled out, noting that they possess the necessary expertise to properly triage cases and handle all serious cases. At the same time, he raised the issue of the commercialization of public health, noting that two companies have purchased private hospitals with profit as their primary motive, as he put it.
ELAM MP Andreas Papacharalambous called for a responsible approach, emphasizing that voting against the budget should not lead to the collapse of public hospitals. He acknowledged the systemic problems and waiting lists, while also referring to the increased absences due to illness, which, as he said, incur additional costs amounting to millions of euros. He clarified that supporting the amendment does not absolve the OKYPY of its responsibilities.
DIKO MP Zacharias Koulias leveled broader criticism at the General Healthcare System (GESY), arguing that public hospitals take on the most difficult cases, while other providers focus on services that yield easier profits. He proposed abolishing the system of personal physicians, paying doctors based on the services they provide, and appointing individuals with expertise in the field to the boards of directors and management. At the same time, he acknowledged the Parliament’s responsibility for the framework it established and called for corrective measures.
Yiannis Laouris, a member of parliament for Direct Democracy, expressed disappointment with the management of healthcare resources, citing millions being wasted and the potential for much better performance. He referred to problems at both Paphos Hospital and private clinics, warning that widespread dissatisfaction could weaken the system as a whole. He emphasized the need for management to be entrusted to qualified individuals and announced that he would vote in favor of the amendment, as it concerns obligations that must be fulfilled.
AKEL Parliamentary Spokesperson Giorgos Loukaidis criticized the extent to which the debate on the functioning of the health care system had escalated, reminding everyone that the bill concerns a specific transfer of funds. He attributed, however, serious blame on the Cyprus Health Services Organization (OKYPY) and its management for the state of public health, noting that AKEL has consistently put forward proposals to strengthen the public sector.
Mr. Loukaidis called on DIKO, as a coalition partner, to direct its criticism toward the Minister of Health as well, while emphasizing that the efforts of doctors and nurses, who work under difficult conditions, should not be dismissed. He also said that the responsibilities of the OAU are often confused with those of the OKYPY and argued that the quality of and access to health services have improved, especially for middle- and lower-income groups.
DISY Parliamentary Spokesperson Dimitris Dimitriou commented that the debate lasted about an hour over an accounting measure, pointing out the hypocrisy of those who criticized off-topic remarks while continuing to make them themselves.
In response, Mr. Michaelides stated that this was not merely an accounting transaction, but rather the approval of a transfer of approximately €14 million from savings on medications to pay doctors’ retroactive salaries for 2025. He also raised the issue of the approximately 800 doctors working at OKYPY and the decline in the number of patients served by public hospitals.
Mr. Savvides characterized the process as “accounting alchemy,” rejecting the view that DIKO’s participation in the coalition government limits its right to criticize. He noted, however, that the Minister of Health is trying to improve the situation and that he is in consultation with him.
For his part, Mr. Laouris stated that he visited Nicosia General Hospital along with his colleagues and that the feedback they received from patients and visitors regarding the services was positive.
Finally, Ms. Orfanidou rejected the allegations of “accounting sleight of hand,” noting that the transfer of funds is an accepted practice and that the payments pertain to accrued expenses. She added that disagreement with the amendment is legitimate, but that suspicions regarding the legality of the process should not be raised.
According to the justification for the amendment, the overspending amounts to €1.5 million in personnel expenses, €2 million in hourly-wage staff, and €11 million in consulting services and research, under the provision concerning the remuneration of seconded personnel from the civil service.
In the first category, the overspending is mainly attributed to the payment of a one-time incentive totaling €1.7 million in January 2025, following the finalization of the agreement with the unions for the years 2023–2024. For hourly-wage employees, €1.6 million relates to increased expenses for overtime, allowances, and employer contributions, due to operational needs, limited staff availability, and absences due to illness. In the third category, the additional expenses relate mainly to overtime and allowances, while they also include €2.4 million for the vertical incentive.
The overspending was offset by savings of €14.5 million in operating expenses, mainly due to lower-than-expected spending on Phase II drug consumption.
Source: CNA
