Corvallis, Ore.-based Samaritan Health Services has laid off about 80 employees, around 1% of its workforce, and has implemented temporary pay cuts for senior leaders for the remainder of 2024.
The layoffs occurred last week and primarily affected those in non-patient-facing roles, according to the report. Some other employees saw a small reduction in hours or voluntarily separated from the health system.
"The decision to eliminate positions within the organization was not taken lightly, but our current financial position is not sustainable," Samaritan said in a statement shared with Becker's. "To recover and maintain financial stability, several measures are being put in place including expense control, project delays and staffing adjustments."
The five-hospital system has managed to report a small operating margin since the pandemic, but challenges including rising inflation, cyberincidents and volume declines in some clinical areas have hurt its ability to maintain a positive margin, according to the report. In July, operational expenses exceeded revenues by almost $23 million.
Samaritan Health is a nonprofit regional system with 6,000 employee, including 620 physicians, according to its website.