A former midwife at Sydney's Royal Prince Alfred Hospital has spoken out about racism in the workplace after a racist slur was written on a hospital whiteboard.

Kaanju and Wagadagam woman Renee Bani worked at the Sydney hospital for seven years, primarily within the Aboriginal midwifery group practice program.

The Guardian reported in August 2022, the phrase "ABO MW" appeared next to the Aboriginal midwife on duty on a whiteboard used to track staff movements.

Ms Bani said she reported the incident to senior management and an internal investigation followed, however it ended with no findings.

"It just it started to really drag me," Ms Bani said, first reported by The Guardian.

"I was fighting a battle that I couldn't fight alone and it came down to, basically, racism."

She said the investigation and lack of outcome left her feeling unsupported, and contributed to her decision to resign in 2024 due to stress and burnout.

Ms Bani said she wanted specific cultural awareness and anti-racism training introduced to improve safety for staff and patients.

She said one manager did not initially recognise the issue with the slur until a non-Indigenous staff member intervened. She also raised concerns about colourism in the workplace.

"There is a lot of colourism too," Ms Bani said.

"I mentioned that a lot in our clinical reviews, that I'm really struggling because I'm a darker skinned girl, and I'm not getting the same treatment."

The Sydney Local Health District said racism was unacceptable and the incident had been thoroughly investigated.

It said several changes had since been introduced including cultural training, an Aboriginal workforce network, and an Elders network.

The RPA also plans to merge the Aboriginal midwifery program into the general midwifery team.

The move would end the current model of dedicated Aboriginal midwives.

Midwife Paige Austin, speaking as a union member, said the program had been essential for women with complex needs and trauma.

"There's a real systemic racism in hospitals," she said.

"I think you can speak to any Indigenous family and find trauma that they've had with the healthcare system."

Prof Catherine Chamberlain, a Palawa woman and midwifery leader, said cultural safety is critical to care access and workforce retention.

"We've got a huge challenge trying to recruit and retain Aboriginal nurses and midwives," she said.

"There's a whole lot of reasons for that including institutional racism and structural barriers."