Palomar Health lays off 317 workers, including some furloughed

Citing the financial strain caused by the COVID-19 pandemic, Escondido, Calif.-based Palomar Health has laid off 317 employees, some of whom were previously furloughed, according to The San Diego Union Tribune.

The layoffs, which took place April 29, affect 50 bedside clinicians, 98 per diem employees and 44 travel employees. About 7.5 percent of those laid off were in leadership or management. 

Employees will receive severance pay and can immediately apply for unemployment. During the severance period, employees will have access to health insurance from Palomar Health. 

The health system said the layoffs were necessary after reporting a $5.7 million operating loss in March, with the hit in April expected to be worse, according to KSUI.

"We knew we had to take more drastic measures," Palomar Health President and CEO Diane Hansen said during a news conference.

On April 8, the health system furloughed 221 employees for 21 days. Ms. Hansen said that some of these workers "were impacted in a permanent way."

It is unclear how many of the furloughed employees were permanently let go. 

Ms. Hansen said that some of the furloughed employees have returned to work.

Palomar Health also has canceled or delayed capital projects and put strategic initiatives on hold to help shore up its finances. 

 

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