The Service Employees International Union is urging Baystate Health, based in Springfield, Mass., to re-evaluate it layoff plans, pointing to new federal payments for rural hospitals, according to a Boston Herald report.
Last month, Baystate officials said the system stands to lose $79 million in 2011 and 2012 due to the economy and state cost-containment policies. Consequently, Baystate will lay off 169 employees and entirely eliminate 185 vacant posts, effective Aug. 19.
However, SEIU argued a new CMS payment formula for rural hospitals would provide Baystate with $17 million. In a letter sent to health system management, SEIU urged Baystate to reconsider its layoff plan.
Read the news report about Baystate Health's planned layoffs.
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