During the past week and a-half, the hospital has frequently been in "code red", with only up to 26 beds free at any time and often many fewer.
Code red is one level below a code black, when the hospital only has up to four beds free and elective procedures are postponed.
Group manager Dr Colleen Coop said the average wait in the emergency department before a bed became free on a ward had been eight to 12 hours, with a few people waiting for a day.
"We are managing the situation, but would manage it even better with community support."
The hospital was asking people to go to their family doctor or the Dunedin Urgent Doctors and Accident Centre first, unless they had an actual emergency, such as chest pains.
"However, we are reminding older people to check promptly if they need to come to our emergency department, because they often do," Dr Coop said.
Use of hospital beds is high as more people need inpatient care while hospital staff work to reduce surgery waiting lists.