Here are 11 hospitals and health systems that have announced layoffs since June 1, as reported by Becker’s:
1. On June 26, King County Superior Court denied a labor union’s request to halt layoffs and clinic closures at Renton, Wash.-based Valley Medical Center. The 321-bed acute care hospital laid off 101 employees in March, followed by more workforce and service cuts in May. It is shifting staffing models from part time to full time across most departments, affecting more than 50% of its workforce. Additional service cuts include the closure of the Northwest Pavilion adult and pediatric inpatient units and five outpatient clinics in Kent, Renton and Covington, Wash. The closures were effective June 27.
2. On June 26, La Junta, Colo.-based Arkansas Valley Regional Medical Center laid off 5% of its employees to help stabilize its finances. The hospital cited inflationary pressures, declining reimbursement rates and rising operational costs for its decision.
3. San Francisco-based UCSF Health is laying off around 200 positions amid “serious financial challenges.” About one-fourth of the employees are part time and the rest are full-time staff in management roles.
4. Los Angeles-based Prospect Medical Holdings will lay off 125 employees at its Orange, Calif.-based Prospect Medical Group location. The layoffs are due to Prospect selling its assets at the facility, according to a June 20 WARN notice obtained by Becker’s. Since November, Prospect has been working to offload 10 of its 16 hospitals amid financial struggles.
5. UC San Diego Health laid off around 230 patient care, managerial and administrative roles — less than 2% of its 14,000-person workforce. UCSD CEO Patricia Maysent told Becker’s that federal changes affecting healthcare, regulatory instability and escalating care delivery costs fueled the layoffs.
6. Nashville, Tenn.-based Vanderbilt University Medical Center plans to lay off up to 650 employees to help cut operating costs by more than $300 million amid anticipated reductions to Medicaid reimbursement and government-sponsored medical research.
7. DuBois, Pa.-based Penn Highlands Healthcare laid off 36 positions across two hospitals due to financial issues post-COVID-19. The layoffs affected employees at Penn Highlands Connellsville (Pa.) and Monongahela, Pa.-based Penn Highlands Mon Valley. Of the layoffs, 26 were nonclinical roles.
8. Middletown, N.Y.-based Garnet Health announced a restructuring plan June 17 that includes workforce reductions, outpatient service closures and leadership changes. The restructuring will affect 42 employees — less than 1% of Garnet Health’s workforce — and involves discontinuing two outpatient services that have experienced consistent underutilization:
- Outpatient pulmonary rehabilitation at Garnet Health Medical Center
- Outpatient diabetes services at both Garnet Health Medical Center and Garnet Health Medical Center–Catskills
9. Peoria, Ill.-based OSF HealthCare plans to consolidate two of its hospitals in east central Illinois — Heart of Mary Medical Center in Urbana and Sacred Heart Medical Center in Danville — into a single hospital operating across two campuses. The health system acknowledged that the transition may result in some layoffs but noted that more than 170 job openings are available locally, with more across the broader system.
10. Renton, Wash.-based Providence, a 51-hospital health system, said in a news release June 12 that it implemented a restructuring plan that will affect 600 full-time-equivalent positions across seven states.
11. Tacoma, Wash.-based Virginia Mason Franciscan Health is eliminating more than 100 jobs in virtual care services, according to a WARN notice. The health system filed the notice with the state on June 5, indicating layoffs are slated to begin July 28, affecting 116 workers.
12. Fresno, Calif.-based Community Health System has eliminated 285 clinical nursing supervisor positions as part of a broader restructuring that leaders say is necessary to meet shifting patient care and staffing needs.
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