Niagara Health cuts 98 jobs to save $9 million and reduce deficit

NIAGARA FALLS: Niagara Health has announced plans to eliminate 98 positions as part of a comprehensive strategy to manage its escalating financial challenges. This measure is intended to save over $9 million and reduce a significant projected deficit of $26 million.

The organization stated that the move is part of a broader plan to ensure fiscal sustainability while maintaining its commitment to high-quality patient care. Authorities described the decision as “difficult, but necessary,” noting that hospitals across Ontario are currently facing intense financial pressure.

The cost-saving initiative is structured to minimize the impact on frontline staff. Approximately 87% of the position reductions will be achieved through attrition (not filling vacant roles) and the internal redeployment of existing employees to other open positions within the hospital system. Niagara Health confirmed that nursing positions will not be affected by these cuts. Furthermore, the organization will continue active recruitment in areas with high patient demand. The cuts are also part of an effort to streamline care models and eliminate roles—many of which were created during the pandemic—that are no longer essential to current operations.

In addition to the job reductions, Niagara Health is implementing other cost-saving measures, including renegotiating contracts, improving the management of holiday time and overtime, and reducing non-essential expenditures. The organization also plans to proceed with strategic investments in technology, infrastructure, and innovative care practices.

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