Market failure, a key feature of the market for health care services which is also observed in the
health care labour market – means that imbalances between demand and supply can develop and
persist, and suggests a role for health workforce planning to improve efficiency in the health
services sector. Current approaches to health workforce planning, especially on the demand side,
tend to be highly simplistic. These include historical allocation methods, such as the personnel-topopulation
ratios
which
are
essentially circular
in
their rationale
rather
than
evidence-based.
This
article
highlights
the
importance
of
evidence-based
demand
modelling
for those seeking
to plan for
the
future
Australian
health
care workforce. A
model
based on population
health
status
and best
practice
protocols
for health
care is briefly outlined.