The Gel that the hospitals put in a newborns eyes after they're born is called Ilotycin the gel "ointment" is put in the newborns eyes to prevent neonatal pink eye.
It's to prevent other infections as well that the baby might get when being born and coming out of the birth canal.
In most cases it really isn't needed but they put the ointment in the babies eyes to prevent the infections from potentially causing the baby to go blind if they are infected or do become infected.