About 59 positions are being cut at St. Joseph’s Health Care as the hospital struggles to find $6.4 million in savings to help balance its budget.
The hospital says the cuts are being made assuming there will be no funding increase from the province for the 2013-2014 fiscal year, which begins in April.
Gillian Kernaghan, the hospital president and CEO, says in a statement “It takes time to implement ways to care for the number of people we serve in the safest and most cost effective ways possible. This plan addresses known inflationary costs, sustains the volumes of care, and provides the lead time our staff and teams require.”
While 59 positions were eliminated, with early retirements, vacancies and other strategies, only 37 staff members were given five-month layoff notices on Tuesday. Eleven new positions are also being created.
The hospital is blaming uncertainty about funding levels for the cuts.
With about 70 per cent of the hospital’s budget tied to salary and benefits, hospital officials say layoffs couldn’t be avoided.
Kernaghan adds “This is a difficult time for our staff members. Throughout this transition we are supporting both those who are faced with losing their jobs, and those who will be adjusting to new models of care and service.”
