Health
Ontario Hospitals Strive for Efficiency but Face Growing Challenges

Ontario hospitals have increasingly focused on efficiency to manage rising demands, but a new report highlights significant challenges facing the healthcare system. According to the Ontario Hospital Association (OHA), record wait times in emergency departments and a growing number of hospitals operating at a deficit indicate that the current approach is unsustainable.
The OHA’s report, titled “Ontario Hospitals — Leaders in Efficiency,” points to the strain on hospitals, which are struggling to adapt to the increasing needs of a growing and aging population. Anthony Dale, president and CEO of the OHA, emphasizes that the existing system lacks the capacity to respond effectively to surges in demand, whether from a pandemic or general healthcare needs.
In terms of healthcare spending, Ontario ranks the lowest in Canada, allocating only $1,935 per person for hospital care. This figure is significantly below the national average of $2,209, suggesting a funding shortfall that critics argue reflects a lack of government support. The OHA estimates that aligning Ontario’s hospital funding with the national average would require an additional $4.4 billion annually.
Despite these financial constraints, the report reveals that Ontario hospitals have achieved notable efficiencies. They have successfully adapted to the increasing demands by minimizing hospitalizations through the use of less invasive procedures and outpatient services. As a result, the average length of hospital stay in Ontario for 2023-2024 was 6.8 days, the shortest in Canada, compared to the national average of 7.3 days. Alberta and Manitoba have longer averages of 8.0 days and 10.1 days, respectively.
While Ontario’s hospitals excel in various performance metrics, there are indications of declining outcomes in some areas. For instance, hospital readmission rates improved until 2022-2023, but have since increased, leading to below-average performance in this critical area. Furthermore, while the timeliness of emergency hip fracture surgeries has improved, it still lags behind other provinces, posing a risk of increased mortality for patients.
The report calls for a comprehensive investment in various health services to maintain the quality of care. This includes enhancing home care, rehabilitation, long-term care, and primary care services. Dale stresses that while hospitals take pride in their efficiency, continued reliance on cost-cutting measures is not viable.
“We need to turn the page,” Dale stated, adding that without changes to funding structures and support for innovation, the healthcare system will struggle to meet the expectations of the population.
To adapt to future needs, the OHA advocates for additional hospital beds and staffing. More importantly, they emphasize the necessity of investing in research and innovation to improve hospital operations. This approach is crucial for ensuring the delivery of both efficient and high-quality care to Ontario’s growing and aging communities.
In summary, while Ontario hospitals have made strides in efficiency, the OHA’s report underscores the urgent need for increased funding and strategic investment to secure the future of healthcare in the province. Without these changes, the challenges of meeting the healthcare needs of Ontarians will only intensify.
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