7 hospital, health system layoffs in August

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Here are seven hospitals and health systems laying off employees throughout August, as reported by Becker’s:

1. Little Rock-based Arkansas Heart Hospital has laid off 40 staff positions or about 4% of its workforce. Jacob Robinson, Arkansas Heart Hospital’s chief strategy and operations officer, attributed the layoffs to increased operating costs and decreased reimbursement rates.

2. Willows, Calif.-based Glenn Medical Center filed an Aug. 22 WARN notice for 225 employees after the hospital shared plans to close following CMS’ decision to revoke its critical access hospital designation on Oct. 21. Jennifer Still, GMC hospital administrator, told Becker’s that the 225 layoffs include 150 full- and part-time employees and 75 per diem staff.

3. Adventist Health’s back-office services restructuring of 750 employees will affect around 300 corporate roles at its Roseville, Calif., headquarters.

4.Atlanta-based Emory Healthcare is laying off some financial services and revenue cycle positions in an “effort to streamline operations and realign our structure with future strategic plans,” a spokesperson told Becker’s on Aug. 13. The spokesperson did not specify the number of layoffs but said the reduction affects less than 1% of the system’s overall workforce based in the Atlanta area. Some additional employees in the same department are being shifted to other roles to better fit their skills and experience. 

A former employee within Emory’s finance department filed a subsequent class-action lawsuit alleging the system violated the federal WARN Act by laying off workers without the required 60 days’ notice. 

5. St. Cloud, Minn.-based CentraCare is laying off 535 employees across the health system in response to “significant external pressures” including rising costs and reimbursements rates “that no longer cover the true cost of care,” a spokesperson for the health system said in a statement shared with Becker’s. The layoffs affect 44 locations and represent nearly 5% of CentraCare’s workforce of more than 11,500 employees.

6. Effective Oct. 4, the Los Angeles-based University of Southern California and its health system, Keck Medicine of USC, will lay off 89 employees, according to WARN notices filed Aug. 4. Keck Medicine of USC will lay off 78 workers, the USC Norris Comprehensive Cancer Center will lay off 10 and the system’s healthcare center will lay off one employee, according to the notices. 

7. Lewiston-based Central Maine Healthcare plans to lay off up to 100 workers amid ongoing financial challenges. The planned cuts — which would equate to about 3% of the health system’s workforce — come as Central Maine Healthcare prepares to be acquired by Ontario, Calif.-based Prime Healthcare. The transaction is expected to close by the end of 2025, subject to regulatory approvals and customary closing conditions.

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