Layoffs at St. Joseph's, St. Gabriel's

St. Joseph's Villa and St. Gabriel's Villa are laying off an as yet undisclosed number of workers thanks to a $800,000 projected deficit for the 2013-2014 financial year.

Jo-Anne Palkovits, president and CEO of St. Joseph's Health Centre of Sudbury, would not provide the specific number of employees who are being laid off from the long-term care facilities.

She said that's because the organization is still figuring out whether or not certain employees will accept casual work instead of losing their jobs entirely.
“I'm not really comfortable giving you a number until everything kind of falls out,” Palkovits told Northern Life.

She said the layoffs affect staff in a number of areas, including management and support services, as well as some health-care workers. A number of these workers belong to Mine Mill Local 598/CAW.

“We tried to minimize layoffs for direct patient care as much as possible,” Palkovits said.

“I think if I look at it from a proportional perspective, we did lay off more ... of what we would call non-direct staff — management, administration and support service areas — than we did direct care.”

The union was notified of the layoffs last week, Palkovits said, and staff started receiving layoff notices as of Dec. 4.

Beyond the layoffs, there have also been a number of other cuts, she said.
That includes zero-per-cent salary increases for the coming year for management and non-unionized staff.

“Again, that was something very difficult and certainly something that won't be very popular.”

The organization is also cutting costs for supplies, education and contracted services, Palkovits said.

“So really, there was no area that was untouched.”

Palkovits said she doesn't anticipate the cuts will affect the quality of patient care.

“We have excellent staff. I think certainly everyone will be rallying around one another and continuing to provide the excellent quality care they always provide.”

As for why the cuts are necessary in the first place, Palkovits said the organization is anticipating a zero-per-cent funding increase next year.

At the same time, the mix of residents at St. Joseph's Villa and St. Gabriel's Villa seem to need less complex care than the provincial average, also resulting in a smaller funding envelope, she said.

Because both long-term care facilities are new, the organization is also required to make mortgage payments out of its operating budget, Palkovits said.

In terms of the current fiscal year, she said the organization is slated to break even.

Palkovits said she regrets the fact that employees are being laid off.

“Honestly, I tell them I'm very sorry that I've had to come to this. But unfortunately, in order to maintain a zero-based budget, we're in a position whereby we have to lay off.”

Northern Life was not immediately able to contact representatives of Mine Mill Local 598/CAW about the layoffs.