Watsonville (Calif.) Community Hospital is preparing to lay off 658 workers, according to a notice filed with the state and shared with Becker's Hospital Review.
Watsonville Community Hospital, which filed for Chapter 11 bankruptcy in December, expects the layoffs to occur between May 16 and May 23, according to the March 17 notice.
"Employees will be terminated from their employment within this time period due to the plant closure if there is a successful sale of the hospital to a new owner, or a shutdown of operations, or restructuring to continue operation," the notice states.
A nonprofit group has agreed to buy the facility out of bankruptcy.
"The hospital remains hopeful that the sale will go through, and that the hospital will be able to continue serving the community," states the notice signed by Watsonville Community Hospital CEO Steven Salyer.