Pharmacists attending an emergency meeting of the IPU in Dublin today said widespread withdrawal by pharmacists from the Community Drugs Schemes is now likely.
The meeting, attended by over 1,000 pharmacists across the country, was called to discuss plans by the HSE to reduce pharmacy incomes by 30% without negotiation.
The meeting heard from pharmacist after pharmacist who said the HSE had left them with no option but to terminate their contracts for the Community Drugs Schemes.
Members agreed that the HSE changes, imposed without consultation or negotiation, would lead to substantial losses in their practices and lead to the forced closure of hundreds of pharmacies.
Pharmacists expressed their anger at the fact that the HSE had denied their right to union representation and fair procedure.
They said they would not allow the HSE to force their proposals though without discussion with the IPU or the agreement of pharmacists.
Pharmacists at the meeting unanimously passed the motion which condemned the HSE for unilaterally breaching the pharmacy contract and which noted that it was now a matter for individual pharmacists to decide whether or not they wished to terminate their contracts.
The IPU alleges that the move will cut pharmacists' incomes by up to 30% and could put many out of business.
However, the HSE says they are cutting margins for wholesalers, and that the move should not affect pharmacists.
The complex row involves the HSE, drug manufacturers, wholesalers, pharmacies, contracts, and competition law - but the pharmacies believe they will take the biggest hit.
The HSE says that the bottom line is that Irish people are paying too much for drugs.
They say they are reducing margins from 17% to 7% for wholesalers, but that the move should be cost neutral for pharmacists.
They say negotiating with the IPU would breach competition law.
The big question is: what will the pharmacists actually do?
Because they are independent businesses, they cannot act together as that, too, would breach competition law.
But it would be a huge step for an individual pharmacist to withdraw from the State medical schemes. It remains to be seen how many would be prepared to do that.
