$175M SETTLEMENT WON FOR JUNIOR DOCTORS

The Australian Salaried Medical Officers’ Federation (ASMOF) has won an in-principle agreement with the Victorian government over $175 million in unpaid overtime for junior doctors working at public hospitals.

In addition to the issue of wage theft, excessive overtime imposed on young doctors leads to fatigue, ill health, burnout and an increased risk of clinical error. Fair pay and adequate staffing for the workload make both the doctors and their patients safer.

 

The settlement was reached after the government lost an appeal against a landmark wage theft case involving a young doctor, Dr Gaby Bolton, being unpaid for overtime worked at Frankston Hospital. Her case paved the way for thousands of other young doctors to raise a class action against dozens of other health services across Victoria.

The agreement is now before the Federal Court and could be signed off as soon as April, with lawyers hoping that once individual cases are assessed, money could reach the settlement participants by late 2026.

This case is a great example of how class actions can provide a powerful pathway for access to legal redress. Australian Salaried Medical Officers’ Federation president, Dr Roderick McRae, said he hoped it was the end of the saga and that enforcing the payment of overtime will lead to adequate staffing provisions - strengthening the healthcare system and creating safer working conditions for young doctors.

Read more: Doctors’ unpaid overtime: junior doctors who didn’t claim overtime win $175m in backpay

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