Nova Scotia Health Authority eyes privatizing food production in Halifax hospitals
Food production accounts for two-thirds of N.S. Health Authority deficit
The Nova Scotia Health Authority says they're looking at privatizing food production in some Halifax hospitals, and has given government employees three months to come up with alternatives to save money.
Hospital staff who serve the public at various Tim Hortons and cafeterias within a dozen hospitals in the Halifax area are currently making more money per hour than equivalent positions elsewhere.
The Nova Scotia Health Authority says the hospitals, located in the former Capital Health district, have lost a total of $8 million in the past six years.
"We want to break even at least," said the authority's CFO Allan Horsbourgh.
"We do not want to subsidize retail food services from patient care."
Horsbourgh says labour accounts for two-thirds of their deficit. Unionized workers in hospital cafeterias and Tim Hortons average more than $18 an hour before benefits.
To save money, the authority said it's preparing to contract out food staff jobs unless the union can find savings or agrees to work for less.
NSGEU President Joan Jessome doesn't agree with the authority's position, and blames the deficit on the amount of food wasted.
"You take 100 people making $18 an hour and you believe their wages are two-thirds of the deficit? Shame on them for blaming low-paid workers."
Jessome said they're beginning to work on a counterproposal to the privatization option.
In terms of food preparation costs at hospitals elsewhere in the province, budgets are in the black. They use the same kitchen staff to prepare food for patients, employees and the public.
Union agreements will prevent changes from taking place until the fall. If people do lose their jobs, the Health Authority says they will be offered positions in other parts of the hospital, such as preparing patient trays.