Joe Mullany, CEO of Detroit Medical Center, was one of the first of several corporate executives to be terminated in a national restructuring plan by parent company Dallas-based Tenet Healthcare, Crain's Detroit Business reported. Those close with the matter told Crain's the reason is partially because Mr. Mullany refused to lay off more employees over the past two years.
The hospital has laid off 200 employees, accounting for about 2 percent of its workforce, and left many other positions vacant over the past two years. A DMC physician confirmed with Crain's that Tenet sought more layoffs at DMC.
Mr. Mullany declined to comment on his departure, and officials from Tenet and DMC declined to address why Mr. Mullany was replaced by Tony Tedeschi, MD, who most recently served as CEO of Tenet's WeissMemorialHospital in Chicago.
Read the Crain's report in its entirety here.
Editor's note: The sources cited by Crain's were unnamed.