Island Health Restructures Leadership Amid Growing Cost-Cutting Mandate

What’s Happening at Island Health?

Island Health has eliminated one vice-president role and several executive director positions, combining the People and Communications portfolios under a single VP as of June 2025. The news was reported by CHEK News and Victoria News.

• The exact number of layoffs has not been disclosed, but Island Health acknowledged that these were non-contract executive and project team members, not unionized front-line staff
• The health authority also ceased project-phase staff tied to the IHealth electronic record rollout after installation of the system at over 300 sites—including full functionality at major hospitals.

Why This Matters

Provincial rising financial pressures have prompted Island Health to cut administrative overhead and redirect funding toward front-line care.

• The organization has launched its Better Care, Better Value initiative to optimize clinical and administrative workflows, streamline contracts, reduce drug and supply costs, and restructure workforce and services
• Over the past five years, Island Health secured significant funding increases, but now faces new affordability demands requiring efficiency-driven cuts and organizational restructuring

Details From Island Health

The authority noted that while the IHealth electronic health record project reached its implementation goals, dedicated project positions are no longer required. Ongoing system support will shift to internal clinical and IT staff.

Additional statements by Island Health emphasize honoring the contributions of those laid off and wishing them success.

The health authority employs more than 27,000 people.

Next Steps For Island Health Employees

If you’ve been affected by the layoffs at Island Health, understanding your legal rights is crucial.

Non-unionized employees in Canada’s healthcare sector are entitled to severance pay based on a variety of factors, including their role, tenure, age, and ability to find similar work.

• SEE ALSO: Layoffs in Canada: Find out which employers are slashing staff

ℹ️ Want a quick overview on severance pay? Watch the video below or check out the full episode in our TV section.

Here’s What You Need to Know

• Compensation: Severance pay in BC, which can be as much as 24 months’ pay, includes salary, bonuses, commissions, and other forms of compensation. Use our firm’s free Severance Pay Calculator to better understand your entitlements.
• Deadlines: You generally have up to two years from the date of your termination to review and negotiate severance offers.
• Action steps: Consult an employment lawyer at Samfiru Tumarkin LLP to ensure your severance package is fair and aligns with Canadian employment laws.

Lost Your Job? Contact Us

If you’re affected by the latest round of layoffs at Island Health, the experienced employment law team at Samfiru Tumarkin LLP can help.

Our Vancouver employment lawyers, serving clients in Victoria and across British Columbia, have helped thousands of non-unionized individuals resolve their workplace issues.

Call us today at 1-855-821-5900 or request a consultation online.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is NOT specific to any one company and should NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.