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Health care turmoil continues with Alberta Health Services staff transfers, terminations

Another high ranking Alberta Health Services official has been ousted and hundreds of staff are being transferred to the province’s new acute care agency, as the government continues its complete overhaul of the health system while embroiled in a contract procurement controversy.

On Tuesday, 425 Alberta Health Services (AHS) staff members were told their positions will be transferred to Acute Care Alberta as of April 1.

A memo, signed by AHS interim president and CEO Andre Tremblay and obtained by CBC News, reveals workers from a variety of teams are being moved, including those involved in surgical care, planning and performance, patient safety and some contracting and commissioning work related to chartered surgical facilities.

In addition, CBC News has confirmed that Penny Rae, the chief information officer (CIO) of AHS, has been dismissed.

Rae led the implementation of Connect Care (the health authority’s centralized clinical information system), and was recognized nationally in 2018 for being one of Canada’s top women leaders in digital health.

She was in that role — leading the information technology department — for more than a decade and worked as a senior vice-president within the health authority prior to that.

Health Minister Adriana LaGrange faced questions from NDP deputy leader Rakhi Pancholi about the firing of the CIO and “other high ranking” officials during question period at the provincial legislature on Wednesday. 

LaGrange confirmed the transfer of 425 AHS staff and acknowledged a handful of positions have been eliminated.

“We’ve said it all along, with the refocusing, people have to move to the new pillars,” said LaGrange.

“Of those position there are five positions that were identified for elimination that would not be required by the acute care agency. They’re not front-line staff. They’re not involved with procurement.”

A woman poses for a photograph.
Penny Rae, the chief information officer of AHS, has been dismissed. She was in that role for more than a decade and worked as a senior vice-president within the health authority prior to that. (Alberta Health Services)

AHS provided a statement to the same effect.

“We cannot comment further on human resource matters,” spokesperson David Veitch said in an email.

All this comes as the UCP government is gripped in a controversy and the auditor general looks into procurement and contracting processes at the Department of Health and AHS related to chartered surgical facilities, pain medication and COVID-19 personal protection equipment.

Former AHS CEO Athana Mentzelopoulos has filed a $1.7 million wrongful dismissal suit alleging she faced government pressure to sign chartered surgical facilities contracts. The claims in the lawsuit have not been tested in court.

The provincial government fired the AHS board in late January, three weeks after Mentzelopolous was ousted.

And for weeks the government has faced calls for Health Minister Adriana LaGrange to step aside.

‘Blood sport’

Dr. Braden Manns, a former AHS interim vice-president, said the latest staffing changes appear to be another government move to consolidate control over the health system.

“It’s very clear that one of the motivations of this is to pull the health-care system up closer to governments, to ministries — pull the information function up closer, pull the decision-making capacities up closer, control the flow of information [and] make it less transparent,” said Manns, a professor of medicine and health economics at the University of Calgary.

The migration of hundreds of AHS staff to Acute Care Alberta was expected, he noted. 

Similar transfers have already happened with Primary Care Alberta and Recovery Alberta, two of the four new agencies created through that government restructuring process. 

When asked about the implications of losing an experienced leader, such as the CIO, Manns said there are some good executives left, but it’s clear the provincial government wants leadership turnover and that creates instability.

“The health system is a complex beast and as you make these transitions, I think it would be better to have the most experienced people still remaining in their roles so that the transition is as seamless as possible,” he said.

“Who knew that getting into health-care management and health-care leadership would be such a blood sport?”
 

Departments transitioning

The AHS memo lays out a long list of departments impacted by the latest transition.

Among those transferring to Acute Care Alberta are teams involved in surgical care and oversight, the planning and performance team, the health evidence and innovation team, as well as parts of teams involved in patient relations, patient safety, and accreditation.

Also included in the move are “parts of the contracting and commissioning work that manages chartered surgical facilities contracts,” the memo stated. 

Staff in that department who manage other contracts, such as equipment, retail, sales, and housekeeping, remain at AHS.

An Alberta Health Services sign on a brick building.
Once the new Acute Care Alberta agency is up and running, AHS will be relegated to the role of a hospital service provider, alongside other organizations such as Covenant Health and chartered surgical facilities. (David Bajer/CBC)

Some involved in operational oversight, including work to develop standards, monitor performance, oversee patient flow and monitor bed capacity, are also moving.

The positions being moved will support “quality management and improvement, operations oversight and co-ordination, acute care commissioning and surgical contract management, and acute care strategy and planning,” another staff document indicates.

Acute Care Alberta (ACA) became a legal entity on Feb. 1 and is expected to begin operating in the spring. 

Once ACA is up and running, AHS will be relegated to the role of a hospital service provider, alongside other organizations such as Covenant Health and chartered surgical facilities.

“Similar to recent transfers to Primary Care Alberta and Recovery Alberta, the positions identified for transfer … are better aligned with [Acute Care Alberta] as the new provincial health agency dedicated to overseeing the governance and co-ordination of acute care,” Tremblay said in the memo to staff.

And more health staffing changes are expected.

Assisted Living Alberta — the last of the four new health agencies — is expected to become a legal entity on April 1 and will be operational later in the year.

Meanwhile a statement from the health minister’s office said the government is making progress on “refocusing and improving Alberta’s health-care system,” adding staff are being supported and informed of any changes.

The office did not confirm if the dismissal of CIO Penny Rae is one of the five eliminated positions LaGrange cited in question period.

“Staff transitions are a step in the collective effort to refocus the health-care system and ensure the workforce is positioned to deliver the highest quality of care to every Albertan,” the statement said.

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