8 Recent Hospital and Health System Layoffs

The following hospital and/or health system job eliminations were announced or implemented within the past month. They are listed by the number of employees or positions affected.  

1. 300 Layoffs Hit Detroit Medical Center
Detroit Medical Center will lay off 300 employees due to Medicare cuts from sequestration. The 300 employees affected by the layoffs represent about 2 percent of the system's full-time equivalent positions. Salaries for corporate executives and vice presidents will also be reduced this quarter, which ends June 30.

2. Reading Health System Cuts 210 Jobs
Reading (Pa.) Health System laid off 210 employees and is eliminating another 181 jobs through attrition. Health system officials said the cuts are part of a cost-reduction plan in response to declining Medicare and Medicaid reimbursement. Reading Health COO Therese Sucher said the layoffs also stem from reduced patient volume for elective surgeries.

3. Pleasant Valley Hospital in West Virginia Lays Off 69 Employees
Pleasant Valley Hospital in Point Pleasant, W.Va., laid off 69 employees in early April. Hospital CEO Tom Schauer said employees were allowed to voluntarily participate in the workforce reduction, and 32 opted to do so. Departments and employees "across the board" were reportedly affected by the layoffs

4. University of New Mexico Hospital Lays Off 57
University of New Mexico Hospital in Albuquerque contracted Nuance Technologies, a company based in Burlington, Mass., that uses voice-recognition technology for medical transcription. The outsourcing which will result in the layoffs of 57 employees.

5. St. Christopher's Hospital for Children in Philadelphia Lays Off 46
St. Christopher's Hospital for Children in Philadelphia laid off 46 employees, which is about 2 percent of the 189-bed hospital's workforce.

6. Memorial Medical Center in California Lays Off 39
Memorial Medical Center in Modesto, Calif., gave layoff notices to 39 employees in its business office. Employees affected oversee hospital billing and other business office matters. Fifteen were offered jobs at a new center in Roseville, Calif., built by Memorial Medical Center's parent, Sacramento, Calif.-based Sutter Health.

7. Corcoran District Hospital in California Closes ER, Lays Off 25
Corcoran (Calif.) District Hospital is in dire financial straits, as the 32-bed hospital closed its emergency room in late March and announced it will no longer accept new inpatients. The closure of the ER resulted in 25 layoffs. Corcoran District Hospital previously laid off 19 employees in February.

8. Layoffs Loom as Orlando Regional Med Center Plans to Close Patient Pavilion
Orlando (Fla.) Regional Medical Center is ending hospital services at its Lucerne Pavilion early this summer — sooner than expected. In November 2012, Orlando Health announced a workforce reduction affecting 2 to 3 percent of its workforce, or as many as 400 employees. Layoffs affecting employees at Lucerne are part of that restructuring, but a specific number of employees to be affected was not provided.

More Articles on Hospital Management:

Outlook for Healthcare in 2013: The Biggest Trends, Opportunities and Threats
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4 Cultural Challenges of Bundled Pricing

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