The Australian Medical Students’ Association (AMSA) calls upon the Australian Government to undertake an independent review of the Bonded Medical Program (BMP) and its efficacy as a rural workforce retention strategy.

The BMP and its related Bonded Medical Scheme (BMS) and Medical Rural Bonded Scholarship (MRBS) offers prospective students a Commonwealth Supported Place at an Australian medical school with a return of service obligation of up to six years in an area of workforce shortage.  

“Bonded programs have cost taxpayers millions of dollars each year since 2001, and still no one can confirm these schemes work in producing a strong rural workforce. Twenty years down the road, why don’t we have answers?” said Ms Sophie Keen, AMSA President.

An amendment to the legislation regulating these programs was introduced to the Federal Parliament in late August. These amendments aim to provide greater flexibility to program participants. 

“We support these new changes that provide more flexibility to participants, but this is simply a bandaid on a broken program.”

The latest publicly available data in 2017 showed that since 2001, only 32 participants have completed their rural service obligations, compared to 518 who had withdrawn from the program, an attrition rate of 94%. This is compared with the John Flynn Placement Program, a rural placement scholarship which was defunded earlier this year due to a withdrawal rate of only 5%.

Ms Jasmine Elliott, Chair of AMSA Rural Health, recalls an exchange with a program participant. “This girl was sixteen years old when she signed a very long contract to get into medical school. How could she understand that she might be contractually obligated to move her work and family in 20 years’ time?”

“Research has conclusively demonstrated that other schemes, such as positive rural placements are a strong determiner for rural workforce retention, yet the government invests primarily in this program that has no public data suggesting a positive impact on rural workforce distribution despite.”

Bonded schemes have undergone several changes over the years with respect to service duration and location, with the current program legislated under the Health Insurance Act 1973 as a three-year rural commitment for approximately 25% of Australia’s medical students.

AMSA is the peak representative body for Australia’s 17,000 medical students, one quarter of whom are subject to the restrictions imposed by the Bonded Medical Program and related schemes. AMSA Rural Health partners with AMSA and other stakeholders to advocate for stability and support of Australia’s future rural health workforce.