That goes for all the so-called service industries. Take transport for example. Why do we still refer to this as "public" transport when most is run by private companies whose main priority is to maximise their profits by selling travel as a product?
The "service" aspect does not, in reality, enter into it.
They will cut and cut as much as they can to shore up their profits, unless heavily subsidised from the public purse.
This is how the capitalist system operates - private profit overrides all else and the minority stealing the wealth created by the majority.
Here is a nursery rhyme from the 1600s which shows that nothing much has changed: