Maine health system laying off 31 employees

Lewiston, Maine-based St. Mary's Health System, a member of Tewksbury, Mass.-based Covenant Health, is laying off 31 employees and reducing working hours for additional employees.

In an effort to address financial challenges and ensure long-term sustainability, the health system, which includes a 233-bed acute care community hospital, will also end 2023 with a negative operating margin. The pandemic, low patient numbers and revenue, rising supply and labor costs, and increased patient acuity were also listed as reasons for the layoffs.

"This decision was not made lightly," Cindy Segar-Miller, president of St. Mary's Health System, said in a statement shared with Becker's. "It reflects the seriousness of our financial challenges and our desire to protect our community and employees from even deeper, more painful cuts in the future. These changes have touched all levels and many areas of our health system, including team members in top leadership positions."

Some employees have also been asked to transfer to other positions. Severance pay and extended health coverage through the severance period is being offered to eligible employees.

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