9 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. Providence Health & Services Lays Off 150
Renton, Wash.-based Providence Health & Services laid off 150 employees across its system, with the layoffs going into effect in about two months. The layoffs affected employees in back-office positions, such as billing and patient registration. The move comes as Providence redesigns its revenue cycle function.

2. Good Samaritan Health in Pennsylvania Cuts 50 Jobs
Good Samaritan Health System in Lebanon, Pa., laid off 22 employees and will not fill another 28 vacant positions, trimming a total of 50 jobs. Most of the 22 eliminated positions were in administrative and support areas, but some clinical positions are also being cut. The cuts were attributed to changing patient utilization patterns and decreased reimbursement from Medicare and Medicaid.

3. St. James Mercy Hospital Slashes 50 Positions
Hornell, N.Y.-based St. James Mercy Hospital is cutting the equivalent of 50 full-time employees in a workforce reduction initiative. The cutbacks include eliminating positions and reducing hours. The hospital attributes the necessity of layoffs to reduced patient volumes, patient days and revenue in addition to lowered state and federal reimbursements.

4. 2 Prime Healthcare Hospitals in Kansas Cut 45 Positions
Two hospitals in Kansas now owned and operated by Ontario, Calif.-based Prime Healthcare Services cut 45 jobs. Providence Medical Center in Kansas City, Kan., and Saint John Hospital in Leavenworth, Kan., made the staffing cuts as part of a "realignment of operations." The eliminated positions were mostly in management and administration, while others were vacant spots.

5. Westerly Hospital Cuts 45 Jobs
The Westerly (R.I) Hospital is laying off 45 employees. Lawrence + Memorial Hospital in New London, Conn., is buying The Westerly Hospital in a deal that will close later this month, and the layoffs are part of the acquisition, as L+M restructures positions at The Westerly Hospital. The layoffs did not affect any clinical positions.

6. Lake Region Healthcare in Minnesota Eliminates 33 Positions
Lake Region Healthcare in Fergus Falls, Minn., eliminated 33 positions across the system, 16 of which involved layoffs. The remaining 17 positions were eliminated by attrition and the consolidation of duties.

7. McLaren Northern Michigan to Cut 30 Jobs
McLaren Northern Michigan in Petoskey is laying off 30 employees, including those in management and staff positions. The cuts are partially driven by sequestration, which will cut Medicare reimbursements at hospitals by 2 percent.

8. Mercy Health System Eliminates 30 Positions
Chesterfield, Mo.-based Mercy is cutting 30 positions due to recent consolidations. Mercy's revenue management division recently consolidated its hospital and physician clinic business office functions, which led to the layoffs. Most of the eliminated positions were based in Springfield, Mo., St. Louis and Oklahoma City.

9. Arnot Health Lays Off 22 St. Joseph's Hospital Employees
Elmira, N.Y.-based Arnot Health is laying off 22 employees at St. Joseph's Hospital, also in Elmira. The health system is closing one of St. Joseph's medical/surgical units May 16, which led to the layoffs. In total, 39 part-time, full-time and per diem employees will be affected by the unit's closure.

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