Skip to main content

Health Minister defends privatization of hospital work by US Corporation

Deb Matthews, the Ontario Minister of Health and Long Term Care, has leapt to the defense of a proposal to contract out hospital jobs in London.   “Every hospital in this province is working really, really hard to get best value for their money when it comes to health care. . . . If we can provide more front-line care, then that’s what we are trying to accomplish.”

London hospitals are in negotiations with U.S. health-records giant Cerner Corp. According to the London Free Press about 30 full-time hospital jobs would be cut in London. 

New Democrat Leader Andrea Horwath, who raised the prospect that patient confidentiality could be put at risk by the US corporation.  Matthews rejected the suggestion arguing “We’ve got some of the toughest privacy legislation anywhere...Every health-care organization here simply must comply with it. I have absolutely no reason to believe this change will, in any way, weaken their commitment to security of patient information.”

Horwath said she remains concerned about a huge firm in the U.S. being the holder of Ontario health records.  “I don’t think the government is giving this very much thought or very much scrutiny,” she said. “The ‘just trust us’ response really doesn’t engender much confidence.”

NDP health critic France Gelinas adds "London has been hit by thousands of job losses, and here you are taking 30 good-paying jobs with benefits and pension plans and shipping them out to the States from a hospital that gets paid by public funds. How is this going to help us at all?"  

dallan@cupe.ca

Comments

Popular posts from this blog

Ford government fails to respond to 72% increase in COVID inpatient days, deepening the capacity crisis

COVID infections continue to drive up hospital costs and inpatient hospitalizations in Ontario. For the most recent fiscal year (April 1, 2022- March 31, 2023) hospital stays related to COVID cost $1.221 billion, according to new CIHI data.   This is about 4% of total hospital spending, creating a very significant new cost pressure beyond the usual pressures of population growth, aging, inflation, and rising utilization.   Costs for COVID related hospitalizations increased 22.2% in Ontario in 2022/23 from the previous fiscal year, rising from $999 million to $1.221 billion.  That rise is particularly notable as the OMICRON spike of late 2021 and early 2022 had passed by the the 2022/23 fiscal year.   The $222 million increase in COVID hospitalization costs came in the same year as the Ford government cut special COVID funding and, in fact, cut total hospital funding by $156 million.     In total, there were 60,653 COVID hospitalizations in Ontario in 2022/3, up from 47,543 in 2021/2. 

More spending on new hospitals and new beds? Nope

Hospital funding:  There is something off about the provincial government's Budget claims on hospital capital funding (funding to build and renovate hospital beds and facilities).    For what it is worth (which is not that much, given the long time frame the government cites), the province claims it will increase hospital capital spending over the next 10 years from $11 billion to $20 billion – or on average to about $2 billion per year.   But, this is just a notional increase from the previous announcement of future hospital capital spending.  Moreover, even if we did take this as a serious promise and not just a wisp of smoke, the government's own reports shows they have actually funded hospital infrastructure about $3 billion a year over the 2011/12-2015/16 period. So this “increase” is really a decrease from past actual spending. Even last year's (2016-17) hospital capital funding increase was reported in this Budget at $2.3 billion - i.e. about 15% more th

The hospital crisis: No capacity, no plan, no end

While Canada has achieved universal public healthcare coverage, that does not mean conservative forces have given up trying to erode that coverage and expand corporate care where it does not currently exist. The battle has become particularly intense in Ontario under the Ford Progressive Conservative government, which is implementing serious cuts to the level of care and moving to bring in for-profit mini-hospitals. Inadequate Staffing.   Less and less of hospital spending is on staff.   Employee compensation as a share of hospital expenditures has consistently shrunk in Ontario. This is not some immutable law of hospital development.  It is in stark contrast with the rest of Canada, where compensation has become a larger share and now accounts for 67.1%. Hospitals in provinces other than Ontario now have 18 percent more staff per capita than hospitals in Ontario. Overall, if Ontario had the same staffing capacity as the other provinces and territories, there would be another 33,778 full t