Hospital to streamline services, cut jobs by 2016

SooToday has learned Sault Area Hospital (SAH) administration will meet with staff Thursday and Friday regarding changes in delivery of services.

A plan to streamline services includes a reduction of the equivalent of 35 full time positions and five part time positions.

It is not yet known in which departments those job cuts will be made.

Other changes include closure of overflow beds, creation of a short stay unit where patients are admitted and services provided within 72 hours, establishment of a medical outpatient clinic to cut down on admissions, a palliative care outreach program, a new model for workforce planning and expanded leadership on the front line.

The changes will take place between now and the end of March 2016.

SAH is facing $10 million less in funding than previously anticipated for the upcoming fiscal year (April 2015 to March 2016).

As reported in October by SooToday's Darren Taylor, Sault Area Hospital Chief Executive Officer and President Ron Gagnon said lay-offs at Sault Area Hospital were speculative but didn't rule it out.

"We have a reality with a province whose finances are very strained so I don't see any new funding coming (on top of current base funding) to healthcare, I think healthcare will be lucky to maintain its current funding if not see it shrink," Gagnon said. "From a proactive standpoint we have to be looking at how we can make sure we deliver our services in the best way that we can."

Gagnon also said, according to last year's financial statements, about 70 percent of the hospital's operating budget goes to staff wages. 

Timmins and District Hospital is facing similar cuts.

In October Timmins and District Hospital (TADH) announced it will have to carry out certain measures to balance its budget, including job cuts.

Forty positions (38.7 full time equivalent jobs) are being eliminated at TADH.

Roger Walker, TADH president and CEO, has said up to 10 positions will be cut through attrition and reduced hours, and another 12 to 15 through early retirements and voluntary exits, however that still means some people will be laid off.

While hospitals in the province struggle to balance shrinking budgets with rising costs the Ontario government is spending more on community and home health care.

Ontario has also been placing more emphasis on funding and solutions for long term care and alternative levels of care issues.