Cleveland-based University Hospitals will reduce hours and pay by 20 percent for about 4,100 workers not directly involved in patient care, the health system announced April 22.
The cuts will last for an initial period of 10 weeks and affect salaried and hourly nonclinical staff.
Executives, directors, nonclinical managers, department chairs and division chiefs will work their regular schedules and have their pay cut. Exempt, salaried workers will take one week off every fifth week. Nonexempt, hourly employees will have their hours cut by 20 percent per week.
Employees have a choice of whether to use their paid time off to receive pay during their time off, or take the time off without pay, University Hospitals said.
During the COVID-19 pandemic, University Hospitals is also suspending matching contributions to 403(b) and 401(k) plans, effective on the first paycheck in May. The health system also will delay merit pay until the end of the year.
University Hospitals CEO Thomas F. Zenty III attributed the decisions to the effects of the COVID-19 pandemic. In a news release, he said the health system is applying for federal resources, but they won't make up for financial losses.
"Our most valuable resource is our people. Our approach is to do what we can to assure that UH caregivers do not go without a paycheck, and that we preserve the talents and character that define our organization," said Mr. Zenty. "We take these actions reluctantly and with deep appreciation for everything our caregivers continue to do to support the health and well-being of our communities."
University Hospitals said employees will have access to the health system's Employee Assistance Program and its UH4YOU support line.