23 November 2017 - The pathology industry has "reached the limit" when it comes to consolidation and after years of being squeezed on fees, says the boss of one of Australia's leading health care companies, Primary Health Care.

Malcolm Parmenter took over as the company's managing director in September, after former CEO Peter Gregg's decision to step down in May to fight charges of falsifying company records when he was at Leighton Holdings.

After a long fight with the healthcare industry for most of last year, the Turnbull government was forced to scrap plans to dump incentive payments for pathology and diagnostic imaging.

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