Mad River Community Hospital restructures outpatient department after 'low revenues,' fired employee says — 4 insights

Arcata, Calif.-based Mad River Community Hospital fired up to 15 employees and announced a restructuring plan after an employee said the system suffered high outpatient-related financial losses, Lost Coast Outpost reports.

What you should know:

1. A fired employee was given a letter that said Mad River is going through a "major restructuring" of its outpatient clinics. The hospital is streamlining its outpatient operations, which led to the layoffs.

2. Charity Paunch was one of the employees who was fired. She said hospital administrations often claimed the hospital's outpatient departments were losing money.

3. The hospital released a statement to Lost Coast saying, "Due to the ongoing challenges in the healthcare industry, Mad River Community Hospital has determined that there is a need to centralize our clinic services to better meet patient healthcare needs in our local community."

4. I Mad River also said it was considering several options to enhance its clinic services, including upgrading the EHR system, improving data reporting and recruiting additional providers. The health system said, "the path of generating new energies into updating and sustaining our clinic system," led to the layoffs.

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