Care Home Rents Remain Unaffordable for Manitoba Seniors

Many seniors in Manitoba are facing increasing financial pressure as rents for personal care homes continue to rise, leaving many unable to afford basic living expenses. Despite ongoing challenges posed by inflation and fixed incomes, care home charges have not only persisted but have escalated, significantly impacting residents.

Rising Costs Amid Economic Strain

In June 2020, as the COVID-19 pandemic began affecting daily life, the Manitoba government under then-Premier Brian Pallister announced a rate increase for personal care homes. This increase would cost residents up to an additional $1,660.75 annually, a significant burden for many living on fixed incomes. At that time, Uzoma Asagwara, the then NDP health critic, criticized the government for implementing such hikes during a national health crisis.

Fast forward to 2023, the situation remains dire. While inflation rates have stabilized—rising only 1.7 percent year-over-year in July, down from 1.9 percent in June—many seniors are still grappling with the lasting effects of inflation that peaked at 6.8 percent in 2022. The financial strain on fixed-income seniors continues, with care home rents rising under both the Progressive Conservative and the current NDP administrations.

Personal Stories Highlight the Crisis

Recent reports from Global News in Winnipeg revealed the plight of residents like Gerald Trapp and Susan Howse, who care for their friend, Alan Howard Metzler. Metzler, diagnosed with Lewy body dementia, faced a staggering increase in his daily care rate from just over $57 to $73.10. Howse expressed frustration, noting that Metzler’s income from three pensions was insufficient to cover the new rate.

In another account, Louis Sokol, a 77-year-old resident at the Fairview Personal Care Home, reported that his rent has surged by nearly $700 over four and a half years, culminating in a monthly bill of $1,891. With such expenses, he is left with only about $10 after paying rent. Sokol has had to withdraw funds from his registered retirement income fund (RRIF), which, in turn, has raised his rent due to income recalculations based on withdrawals.

Sokol expressed his frustration, stating, “What am I supposed to do? It’s just out of this world.” He desires a rent reduction to at least $400 less than his income to cover bills adequately and sustain a reasonable quality of life.

These stories underscore a broader issue affecting many seniors in Manitoba, where fixed incomes clash with escalating living costs. Reports indicate that the income-based rent structure, which calculates charges using net income from tax returns—including pensions and RRIFs—does not adequately account for the realities many residents face.

Asagwara has been less forthcoming with direct responses to media inquiries, often providing statements that do not address the core issues raised by constituents. A spokesperson for the minister commented on Sokol’s concerns, stating, “Charges are calculated using net income from a resident’s tax return, which includes income from all sources such as pensions, RRSPs, RRIFs, or investments.”

While the spokesperson indicated that adjustments could be made if incomes fluctuate, many residents feel that the current system does not adequately protect them from the financial challenges posed by rent increases. The spokesperson also noted that daily rent costs range from $43.10 to $104.20 to cover essential services such as labor, supplies, food, and maintenance, with an average cost of care amounting to $296 per person per day.

The ongoing situation reveals a pressing need for a reassessment of care home rental rates to ensure that Manitoba’s seniors can afford the care they require without sacrificing their financial stability. Addressing these challenges is essential for improving the quality of life for many residents who depend on personal care homes for their daily needs.