Tag Archives: Mount Everest of Cash

Hospital cuts in the new gilded age

We’ve heard it all before – there’s no money and cuts have to be made to some of our most cherished services, including hospitals. But is it true?

The Chatham-Kent Health Alliance is just the latest hospital to announce cuts to cope with a freeze in base hospital funding this year. Last week it was reported the hospital was closing 22 beds and cutting 23.5 full-time equivalent jobs. With these cuts, the hospital is still expecting to run a $1.3 million deficit this year.

While we are told there is no money for public hospitals, there have been some revealing stories in the last few weeks to suggest that there is an “Everest” of cash out there, much of it held by corporations that have been bleating for the necessity of even lower taxes.

A report at the beginning of July by economist David Madani noted non-financial Canadian companies have acquired a pile of cash that they are neither investing nor paying out in dividends to shareholders. The amount is staggering — $526 billion.  That’s an increase of 42 per cent since the end of the most recent recession.

Continue reading