Parking and congestion has become such an issue at Bulli Hospital the health district is now running a free staff shuttle to and from Bulli Showground.

Residents and staff have grown increasingly concerned about traffic in the streets around the hospital, saying there have been several serious accidents in recent years.

They say these issues have been exacerbated with the palliative care and rehabilitation wards moving as Port Kembla Hospital is decommissioned.

General manager of the Northern Illawarra Hospital Group Nicole Sheppard said the Illawarra Shoalhaven Local Health District was aware of the concerns raised by staff and the community about parking on Hospital Road.

To help ease congestion, the district established a temporary shuttle bus service for staff which started on July 31.

"In an agreement with Bulli Showground, staff will be able to access up to 100 parking spaces with the bus running to and from the hospital every 15 minutes during the hours of operation," she said.

"The shuttle bus service is optional and free for staff."

Ms Sheppard said the bus service would be trialled for a year, and will operate weekdays between 6-8.30am and 3-4.45pm.

"[Usage will be] monitored to ensure that staff are finding it a useful and convenient way to get to the hospital and that it is helping to ease congestion," she said.

"At this stage, the shuttle bus is intended for staff working day time shifts, as parking on Hospital Road generally eases throughout the day."

Residents who have formed the Old Bulli Hospital Community Action Group say there is not enough parking at the new Bulli Hospital, and are calling on the new Labor Government to intervene in the development of the old hospital site across the road to build more parking.

They say the old hospital had about 110 off street car parking spaces for patients, visitors and staff, while the new larger one has 46 spaces.

"The land at the former Bulli Hospital site is the only land available close to the new hospital that can accommodate the much needed additional car parking," the group's spokeswoman Margaret Hutchinson said.

Health minister Ryan Park has long held concerns about parking and safety at the hospital, and Heathcote MP Maryanne Stuart is also backing residents.