HDGH working on plan to erase $4 million deficit by 2028

Hotel-Dieu Grace Healthcare seen in Windsor, Ont. on Nov. 19, 2025. (Stefanie Masotti/CTV News Windsor)

The CEO of Hôtel-Dieu Grace Healthcare is optimistic they can address a budget shortfall without decreasing the quality of patient care.

An update on the hospital’s financial outlook, provided by Bill Marra on Wednesday, indicated that the current deficit is approximately $4 million.

The deficit has been cut in half compared to this time last year, Marra said.

“This was achieved without affecting any of our patient care programs. No layoffs of frontline clinical staff whatsoever, nor reduction in hours of services. No reduction in beds,” Marra told the media.

To reduce their spending, the hospital has eliminated unfilled non-union positions, restructured cafeteria services and found savings and rebates in its pharmacy department.

The Ford government has tasked Ontario hospitals to balance their books by the spring of 2028.

Marra said HDGH still has a “ways to go” but their hope is to find a sustainable financial path.

The hospital has “no intent” to close programs or lay off front-line clinical employees.

“We think there is a path forward, but we need to do this very strategically because it’s not just about March 2028. It’s about the next five or 10 years,” he said.

Cost-cutting measures included the elimination of some non-union management positions, where the workload has been shifted onto existing staff.

The hospital has also closed its traditional retail cafeterias, but Marra noted it has not impacted patient food. HDGH has transitioned to a fully automated food supplier, operated by the private sector.

Working with a third-party, Hôtel-Dieu plans to compare levels of programming, services, and costs to similar healthcare providers across Ontario.

Marra said they plan to identify areas requiring “further operational review” before developing strategies to further cut into the deficit.

“So, we’re going to look at administrative costs, you know, cost of security, staffing models, anything that is flagged in the benchmarking, anything that shows that we’re perhaps above the median, then it’s going to get further scrutinized,” he said.

Staffing accounts for about 65 per cent of HDGH’s $140 million budget. The hospital employs about 1,300 people and has around 100 doctors.

Marra noted the HART Hub, opened in 2025 to help meet the needs of those struggling with mental health and addictions, does not have any impact on their budget.

A comprehensive plan to address the deficit is expected to be presented to the hospital’s board before the end of September.