Methicillin-resistant Staphylococcus aureus has become an important nosocomial pathogen in the four special-care nurseries in Melbourne during the past two years. Once introduced into a nursery, it can spread rapidly unless specific precautions are taken to prevent it. It has been responsible for a number of serious infections in susceptible infants who have required treatment with the potentially toxic antibiotic agent, vancomycin. Because of the interdependence of the four special-care nurseries, a coordinated approach to infection control is required to minimise the spread of the organism and the associated increased morbidity.