South Korea to Allocate $7.59 Billion to Boost Doctor Fees Amid Healthcare Strain

In response to mounting pressure on South Korea’s healthcare system, the government has announced a significant reform, allocating 10 trillion won ($7.59 billion) from health insurance funds over the next three years to increase doctor fees for treating severe illnesses. This move comes as the healthcare sector grapples with the aftermath of a massive walkout by trainee doctors protesting government plans to expand medical student numbers.

Thousands of young doctors, including interns and residents, left their positions earlier this year, creating a severe shortage in hospitals, especially in emergency rooms. Hospitals reliant on these doctors were forced to reduce services, leaving existing staff overwhelmed.

In a bid to address the crisis, South Korea’s health ministry has announced that major hospitals will receive a 50% increase in fees for intensive care units and surgeries for severe diseases, including cancer. By raising fees, the government hopes to reduce reliance on trainee doctors and shift focus toward more specialized care.

The goal is for 70% of treatment at these hospitals to focus on critical illnesses, up from 50% currently. The government has also deployed military doctors and asked the public to avoid emergency rooms for non-severe issues to mitigate the impact of the walkout.