A union representing some staff at the facility said senior management and the board at Montecillo should apologise after what one staffer at the St Kilda facility described as a "horrific'' year.
Montecillo Trust chairman David More has rejected an accusation by the union the concerns failed to yield immediate action but he would not be drawn on what steps were taken.
The allegations raised by staff, the union and at least one resident of the Montecillo Veterans Home and Hospital ranged from rostering changes causing distress among long-serving staff to accusations of bullying.
But a staffer said things were improving under a new acting nurse manager.
The Otago Daily Times recently reported the former nurse manager was no longer in her position following an audit in May.
The audit found the facility fell short of more than a dozen Ministry of Health standards, including failure to document patient care plans and not properly monitoring pain relief.
The nurse manager could not be reached for comment for this article and earlier declined to comment.
Last November, Etu union organiser Ann Galloway wrote to the Montecillo board of directors raising a range of issues on behalf of its members who worked there, related to changes since the arrival of the nurse manager earlier that year.
Members alleged some rosters were not consistent and newer staff were receiving preference over long-serving employees.
Mrs Galloway also raised concerns about some of the older workers, who had been at the rest-home for many years, now working in the hospital, which had higher-needs residents and therefore a heavier workload.
"At least one of these employees has left because of this and other reasons.''
The letter asked if the nurse manager was employed in a part-time role, given she had allegedly not worked a full week since starting, and requested a meeting with the board.
Mrs Galloway later said a meeting eventuated but as far as she understood, no action was immediately forthcoming.
Montecillo chief executive Lynley Kloogh referred questions to Montecillo Trust chairman David More, who said he strongly rejected that.
"All concerns that I'm aware of were addressed.''
However, he said the discussions with the union were in confidence and would not be drawn on what action was taken.
Mrs Galloway said she believed senior management and the board at Montecillo should shoulder some responsibility and not just "blame it all on the nurse manager''.
"I think the very least that should happen is the staff should be given an apology from the senior management and the board.''
In response to the call for an apology, Mr More said: "They can ask for that and we'll deal with it, but it's not something that's going to be advertised in the Otago Daily Times.''
One former and two current Montecillo staff members spoke to the ODT yesterday, on condition of anonymity, to allege a climate of fear at the facility.
"I don't think, in the last year, that I have ever been in such a horrific situation, getting knotted in the stomach, wanting to leave, it's only for the residents I've stayed,'' one said.
But the two current staff members heaped praise on new interim nurse manager Leigh Dorward and said things were improving at the facility.
"She's really putting stuff back into place, the happiness is coming back,'' a current staffer said.
"And she's giving compliments, not complaints.''
"Montecillo lost its mana ... but now the mana is coming back into the place.''
Mr More said he could not comment on any accusations regarding the former nurse manager.
"She's no longer, as I understand it, employed by Montecillo, and the discussions were confidential, so I can't make any comment on that.''
