129 hospitals furloughing workers in response to COVID-19

https://www.beckershospitalreview.com/finance/49-hospitals-furloughing-workers-in-response-to-covid-19.html?utm_medium=email

City of San Antonio furloughs nearly 300 amid COVID-19 pandemic | WOAI

Many U.S. hospitals and health systems have suspended elective procedures to save capacity, supplies and staff to treat COVID-19 patients.

As a result of suspending these nonemergent procedures, several systems have lost or expect to lose a large chunk of their annual revenue, forcing them to make cost reduction a top priority. 

Below is a breakdown of the hospitals that have furloughed staff in an effort to remain financially stable amid the COVID-19 pandemic. 

April 16

1. Samaritan Medical Center in Watertown, N.Y., will furlough 10 percent of its 2,400 employee workforce due to a revenue loss stemming from the COVID-19 pandemic, according to NNY360. The medical center expects the furloughs to last about three months.

2. In an effort to ensure the long-term financial stability of the organization, DuBois, Pa.-based Penn Highlands Healthcare has furloughed or laid off 600 employees, according to The Progress News. About 60 percent of the 600 affected staff were furloughed. The health system has seen its revenue dip about 40 percent due to the suspension of elective procedures.

3. New Bedford, N.H.-based SolutionHealth, which includes Manchester, N.H.-based Elliot Hospital System and Nashua-based Southern New Hampshire Health, plans to furlough 650 staff members to offset a revenue hit from the COVID-19 pandemic, according to The Union Leader. 

4. Titus Regional Medical Center, a 108-bed facility in Mount Pleasant, Texas, has furloughed about 10 percent of its staff due to the COVID-19 pandemic, according to The Texas Tribune. It has about 800 employees. Titus said it expects the virus to cause a financial hit of $3.3 million, or about 14 days of cash.

5. Citing a financial hit from the COVID-19 pandemic, Chillicothe, Ohio-based Adena Health System has furloughed 500 staff members, according to WBNS, a CBS affiliate. The health system is projecting that it will have a deficit of more than $50 million through 2020 due to the suspension of elective procedures.

6. Akron, Ohio-based Summa Health is furloughing 360 employees in an effort to cut costs during the COVID-19 pandemic, according to The Beacon Journal. Summa Health has about 7,200 employees. The furloughs started this week. It is unclear when they will end.

7. Jupiter (Fla.) Medical Center has furloughed 50 workers in administrative and support positions due to the COVID-19 pandemic, according to The Palm Beach Post. The furloughs affect 2.7 percent of the hospital’s 1,883 employees and are expected to last through the peak of the pandemic.

8. Citing a patient volume and revenue loss from the COVID-19 pandemic, Paragould-based Arkansas Methodist Medical Center plans to furlough a portion of its staff starting April 20, according to local news station KAIT8. 

9. Dunn, N.C.-based Harnett Health has furloughed 80 staff members due to theCOVID-19 pandemic, according to My Daily Record. 

“We want to reassure our community that we are still here and able to provide care whenever they may need us,” Harnett Health President Cory Hess told the publication. “The restructuring is a direct result of having to temporarily shut down some of our services to reduce the spread of COVID-19.”

10. Citing a revenue dip due to the COVID-19 pandemic, Pocatello, Idaho-based Portneuf Medical Center will furlough and lay off a portion of its staff, according to the Idaho State Journal. It is unclear how many staff members were furloughed and laid off. The furloughs are expected to last 90 days, but some employees may be called back earlier.

“To balance the resources needed to care for our sickest patients against the economic impact of postponed visits and the decline in surgeries, we have made some difficult workforce decisions,” a spokesperson for Portneuf Medical Center told the publication.

11. San Francisco-based Dignity Health has furloughed a portion of its nonclinical staff, Laurie Harting, Dignity’s CEO for the Greater Sacramento region, told the Sacramento Business Journal. The number of affected employees was not disclosed.

12. While Sacramento-based Sutter Health has created a labor pool to redeploy and reassign employees, some who are unable to be reassigned have been furloughed, according to the Sacramento Business Journal. Sutter has offered these affected employees 80 hours of “disaster pay” to account for hours lost and is creating a relief fund for employees. It is unclear how many employees are receiving the disaster pay. The health system has not laid off employees.

April 15

1. Citing a decline in elective surgeries and other nonemergent procedures due to the COVID-19 pandemic, Dallas-based Tenet Healthcare has furloughed about 10 percent of its workforce of more than 113,000. Affected employees include those in administrative support roles, corporate office jobs and elective care. Earlier in April, Tenet said it planned to furlough 500 employees, but the health system said it had to raise the number of furloughs after the costly government-mandated suspension of elective procedures.

2. Citing the suspension of elective procedures, Detroit Medical Center is furloughing 480 employees who are not involved in treating COVID-19 patients or other critical patient care, according to Fox Detroit.

3. Lovelace Health System, based in Albuquerque, N.M., plans to furlough or cut hours of about 630 people, according to The Albuquerque Journal. The temporary workforce reduction affects about 15 percent of the health system’s 4,239 employees.

4. Citing a revenue drop of 60 percent due to the COVID-19 pandemic, Rutland City, Vt.-based Rutland Regional Health System has furloughed 150 employees, according to WCAX. The hospital has about 1,200 employees total.

5. Philadelphia-based Einstein Healthcare Network plans to move forward with furloughs due to a significant decline in physician practice and outpatient volume, according to WHYY. Health system officials said they project a $50 million to $60 million hit in 2020. Internal documents revealed that 70 percent of the health system’s expenses are staff related. Einstein Healthcare department heads were instructed to choose which employees to furlough this week.

6. Abbeville (S.C.) Area Medical Center has furloughed or cut hours of 75 employees for at least two months, according to the Index-Journal. Both clinical and nonclinical staff are affected.

“Like many hospital systems across the state and nation, the COVID-19 pandemic has created financial challenges for Abbeville Area Medical Center,” Dean Turner, Abbeville Area Medical Center’s CEO, told the publication. “This was a difficult decision but one that was necessary not only to ensure that our hospital can continue to serve patients, but also to ensure that our employees have jobs to come back to in the next six to eight weeks, if not sooner.”

7. Citing a financial toll from the COVID-19 pandemic, Roanoke, Va.-based Carilion Clinic plans to furlough a portion of its staff, CEO Nancy Agee announced in a video to employees. The number of affected employees has yet to be determined.

8. Jonesboro, Ark.-based St. Bernards Healthcare has furloughed 50 employees due to a significant decline in patient volume and revenue, according to Arkansas Business. The health system said that it is working to help furloughed staff “receive every benefit possible.”

9. In an effort to conserve cash and ensure the future financial stability of the organization, Sedalia, Mo.-based Bothwell Regional Health Center has furloughed 50 staff members, according to KSIS Radio. The COVID-19 pandemic has resulted in a 43 percent reduction in revenue, the hospital said.

10. Queensbury, N.Y.-based Hudson Headwaters Health Network has furloughed 50 employees due to the revenue hit from the COVID-19 pandemic, according to North Country Public Radio.

11. Decatur, Ill.-based HSHS St. Mary’s Hospital is asking employees to take voluntary furloughs due to a decline in patient volume from the COVID-19 pandemic, according to WCIA. 

12. Fayetteville, Ark.-based Washington Regional Medical Center is furloughing a portion of its staff to help offset revenue losses due to the COVID-19 pandemic, according to KNWA, a Fox affiliate. The number of furloughs has yet to be determined.

13. In an effort to offset some of the financial losses from the COVID-19 pandemic, Mount Clemens, Mich.-based McLaren Macomb Hospital plans to furlough up to 20 nurses, according to Detroit News. 

April 14

1. Kalispell (Mont.) Regional Healthcare will furlough 600 employees in an effort to help offset the financial hit from the COVID-19 pandemic, according to NBC Montana. The health system expects to incur a revenue loss of $16 million per month due to the suspension of elective procedures.

“The compounding effect of the loss of patient volumes, cancellation of elective surgeries, and the closure of entire service lines has had a tremendous financial impact on KRH,” Craig Lambrecht, MD, Kalispell Regional president and CEO, told the publication. “Cost cutting efforts have been underway but unfortunately those efforts alone cannot remedy the significance of these losses.”

2. UT Health East Texas in Tyler has furloughed or reduced hours of about 10 percent of its staff due to a decline in patient volume stemming from the COVID-19 pandemic, according to KLTV. The furloughs will last about 90 days, but some employees may be called back earlier. Employees will still have access to health insurance and paid time off benefits.

3. Manchester, N.H.-based Catholic Medical Center has furloughed 700 employees after canceling elective procedures to save staff and supplies for COVID-19 patients, according to The Union Leader. The hospital said it is losing about half of its typical monthly revenue. Furloughed workers can use paid time off.

4. Citing a revenue loss tied to the COVID-19 pandemic, Glens Falls (N.Y.) Hospital furloughed 337 workers, according to The Glens Falls Post-Star. Affected employees work in nonclinical roles.

5. Weymouth, Mass.-based South Shore Health has placed 219 employees on furlough in an effort to counter some of the financial strain caused by COVID-19, according to The Patriot Ledger. The health system has more than 5,600 employees. The health system said it is looking to reassign some of the workers to new roles.

6. Las Cruces, N.M.-based Memorial Medical Center has furloughed 125 employees, according to The Las Cruces Sun News. The furloughs affected nearly all departments and will last 60 days. The employees will earn partial pay and will still retain health benefits.

7. Minneapolis-based Allina Health said that employees in nonclinical and indirect patient care roles must take at least one mandatory furlough in a 30-day period, according to SW News Media. The mandatory unpaid furlough will be one week in duration. Employees can use paid time off to cover the mandatory furlough.

“Not unlike other health care systems in Minnesota and across the nation, these changes have created significant financial pressures for Allina Health,” the health system said in a news release.

8. Irving, Texas-based Christus Health implemented furloughs for a portion of its staff, according to KLTV. The health system said employees will retain their healthcare benefits and are allowed to take paid time off. The system didn’t disclose how many employees will be affected.

9. In an effort to help offset an expected revenue loss of $6 million per month, Derby, Conn.-based Griffin Hospital is furloughing 99 employees, according to The New Haven Register. The furloughed employees work in nonclinical roles.

10. Las Cruces, N.M.-based MountainView Regional Medical Center has placed 67 employees on furlough, according to The Las Cruces Sun News. The medical center has furloughed employees from departments where services have been suspended during the pandemic.

11. Nacogdoches (Texas) Memorial Hospital has furloughed a portion of its staff due to the COVID-19 pandemic, according to The Lufkin Daily News. The hospital said it has been stockpiling supplies for an anticipated surge in COVID-19 patients, which has “resulted in extraordinary expenses piling up at exactly the same time that we’ve intentionally driven volumes down by more than 50 percent.”

April 13

1. Citing a revenue drop due to the COVID-19 pandemic, Decatur (Ala.) Morgan Hospital is furloughing about 10 percent of its staff, 100 workers, according to The Decatur Daily. 

2. Springfield, Mo.-based CoxHealth has furloughed 283 employees due to the suspension of elective procedures, according to The Springfield News-Leader. The hospital said it is working to get some of the furloughed employees redeployed to other positions in the health system.

3. Canton, Ohio-based Aultman Health will furlough about 400 employees, according to The Canton Rep. The majority of furloughed employees work in nonclinical roles, low-volume service areas or can’t be redeployed to care settings.

4. Evangelical Community Hospital, based in Lewisburg, Pa., has placed 400 workers on a furlough, according to The Williamsport Sun-Gazette. The hospital employs about 1,900 workers.

“Furloughs were across the board,” Deanna Hollenbach, a Evangelical Community Hospital spokesperson, told The Sun-Gazette.

5. Danville, Ky.-based Ephraim McDowell Health plans to furlough 20 percent of its 1,700-employee workforce, according to The Advocate Messenger.  The hospital system said that it needed to “take immediate steps to ensure that we can sustain our operations after the COVID-19 crisis ends,” according to a statement obtained by the publication.

6. Starting April 13, Farmington, N.M.-based San Juan Regional Medical Center is furloughing a portion of its staff, according to The Farmington Daily Times. The furloughs will affect employees in elective care and in nonclinical roles.

7. Citing a revenue loss of 50 percent, Elmeria, N.Y.-based Arnot Health plans to furlough a portion of its staff to shore up finances, according to MyTwinTiers.com.  Affected employees will be notified by April 17.

“The subsequent reductions in patient revenue have made it impossible for Arnot Health to afford the cost of current staffing levels in all but the most essential areas at this time,” the hospital said in a news release.

8. Although Mayo Clinic previously said it would protect full pay and benefits through April 28, after that date the system now says it will furlough some staff and implement pay cuts to address significant reductions in revenues. The Rochester, Minn.-based system said it projects a $900 million shortfall, even with the furloughs and pay cuts.

9. Anderson, S.C.-based AnMed Health will begin implementing furloughs April 19, according to WWYF. The furloughs are expected to last about three months. There was no specific number of furloughs announced, but officials said both clinical and nonclinical employees will be affected.

10. Spartanburg (S.C.) Regional Healthcare System has furloughed some of its staff, according to WWYF. The health system has set up a COVID-19 fund to support affected staff.

11. La Crosse, Wis.-based Gundersen Health System has furloughed some of its staff, according to The La Crosse Tribune. Gundersen officials said that its locations have experienced a 40 percent to 80 percent decrease in business operations in the last few weeks due to the suspension of nonemergent procedures and clinic visits.

“These are temporary actions,” Gundersen CEO Scott Rathgaber, MD, told the publication. “We plan to bring staff back to fully serve the needs of our patients and communities when our procedures and appointments can safely return to normal operations.”

12. Grays Harbor Community Hospital, based in Aberdeen, Wash., has implemented furloughs after the system saw a 45 percent drop in outpatient procedures due to the COVID-19 pandemic, according to KXRO. The hospital said it was also incurring more costs to procure equipment for staff. The furloughs will begin April 13 and last 90 days.

13. Citing millions of dollars in lost revenue due to the COVID-19 pandemic, Bennington-based Southwestern Vermont Health Care is furloughing a portion of its workforce, according to The Bennington Banner. The health system expects to furlough about 100 of its 1,400 workers and said it will reassess the furloughs every two weeks.

14. Putnam, Conn.-based Day Kimball Healthcare has furloughed workers due to a drop in patient volume and revenue, according to NBC Connecticut.

April 10

1. Allentown, Pa.-based Lehigh Valley Health Network has furloughed about 900 employees who work at its physician practices, according to The Morning Call. The email obtained by the publication stated that furloughed workers can return to work after in-person patient visits return to normal levels.

2. Halifax Health, based in Daytona Beach, Fla, has placed 300 staff members on a mandatory four-month furlough, according to The Daytona Beach News Journal. The news comes just nine days after the system asked for volunteers to take furloughs. The health system is also mandating that nonclinical staff not included in the furlough take one day off per week.

3. Citing financial pressure from the COVID-19 pandemic, Escondido, Calif.-based Palomar Health has issued temporary layoffs for 221 employees, according to NBC San Diego. The furloughs will last 21 days and may be extended. Palomar Health said it is facing a significant revenue decline and incurred more costs to procure equipment.

4. Citing a 60 percent reduction in revenue in the last two weeks due to the pandemic, Marshall, Mich.-based Oaklawn Hospital has temporarily laid off 200 employees, according to local news station WWMT. The temporary layoffs affect about 17 percent of its 1,150 employees.

5. More than half of the employees at Gold Beach, Ore.-based Curry Health Network will be furloughed, laid off or have hours cut, according to Oregon Live. The hospital network said that 192 employees will be affected. At the beginning of March the network employed 340. The system said the state’s ban on elective procedures to free up capacity and supplies for COVID-19 patients cut into its revenue stream, according to the report.

6. Baptist Health, an eight-hospital system based in Louisville, Ky., has implemented temporary unpaid furloughs for employees in jobs that do not support caregivers or are not critical to treating COVID-19 patients. The health system did not disclose the number of furloughed employees.

“Our intent is to return to normal operations as soon as possible, and begin calling back employees. This is just a temporary measure,” said Baptist Health CEO Gerard Colman.

7. Lexington, Ky.-based UK HealthCare said it plans to place some employees on unpaid leave after April 25 if the pandemic continues to affect operations, according to WKYT.  Direct care providers will not be affected by the furloughs.

8. Batesville, Ark.-based White River Health System has furloughed some employees for 30 days due to a decrease in patient volume, according to local news station KARK. It is unclear how many employees were placed on furlough, but they are expected to be temporary.

9. Citing volume declines of more than 50 percent due to the COVID-19 pandemic, Georgetown, S.C.-based Tidelands Health has furloughed an undisclosed number of staff, according to WPDE, an ABC affiliate.

10. Gardener, Mass.-based Heywood Healthcare has furloughed an undisclosed number of staff in units and facilities that were closed in preparation for a surge of coronavirus patients, according to The Gardener News. The first furlough will last four weeks and will mainly affect staff that work in outpatient settings.

“We are actually seeing a $5 million drop in overall revenue for our organization, so we are going to really work on staffing, and we are going to implement a variety of things today, including furloughs — both full furloughs for staff and partial furloughs — continuing to use low activity days, some very limited layoffs, reducing scheduled hours, changing our on-call arrangements, restructuring job positions, reducing the contracted services we have, as we try to tackle and lower our expenses,” Win Brown, president and CEO of Heywood Healthcare, told the publication.

11. Brewer, Maine -based Northern Light Health is asking its staff to volunteer to take furloughs, according to CentralMaine.com. The health system said it has no plans to conduct involuntary furloughs.

April 9

1. Citing severe patient volume disruptions caused by the COVID-19 pandemic, Johnson City, Tenn.-based Ballad Health plans to furlough at least 1,300 workers, cut pay for some senior leaders and suspend retirement contributions. Ballad is projecting a cash flow drop of $150 million in the next 90 days due to the suspension of elective procedures.

2. Lewiston-based Central Maine Healthcare will furlough 330 employees to help offset the revenue loss caused by the COVID-19 pandemic, according to Bangor Daily News. The furloughs affect about 10 percent of its workforce.

“Furloughs like this are one way that we can adjust and manage the balance sheet appropriately. It also allows us to do that without having to sacrifice jobs permanently, without having to end the provision of care,” Kate Carlisle, director of public relations and community affairs for Central Maine Healthcare, told the publication.

3. Oswego (N.Y.) Health will furlough 25 percent of its workforce next week, according to Syracuse.com. Health system officials said that it has been losing about $180,000 per day since the beginning of March due to the coronavirus pandemic. Oswego Health said the furloughs should last about 10 to 12 weeks.

4. Citing a revenue and patient volume dip caused by the COVID-19 pandemic, Hopkinsville, Ky.-based Jenny Stuart Health has furloughed 248 staff members, according to Kentucky New Era. The health system has about 1,000 employees.

“This is an incredibly difficult time for our health system, and this is not a decision we made lightly. I regret the immediate personal impact on these employees and their families,” Jennie Stuart Health CEO Eric Lee told the publication.

5. Marshfield (Wis.) Clinic will furlough employees who are not involved in preparing for the anticipated surge in COVID-19 patients, according to local news station WEAU.  The furloughs are expected to be temporary, and staff can be recalled at any point in time to help manage the surge, according to the report.

6. Due to the suspension of elective procedures, Ashtabula (Ohio) County Medical Center is furloughing a portion of its workforce, according to the Star Beacon. To reduce the number of employees affected by the furlough, the hospital is training some employees to support different clinical departments in anticipation of a surge of COVID-19 patients.

7. University of Kansas Health System St. Francis Campus in Topeka is laying off 29 employees and furloughing 235, according to The Topeka Capital Journal. The furloughs and layoffs are an effort to offset the financial impact of the COVID-19 pandemic. The furloughs affect about 17 percent of the hospital’s staff.

8. Holyoke, Colo.-based Melissa Memorial Hospital is placing 19 employees on furlough for about three months, according to The Holyoke Enterprise. Furloughed employees are expected to return to work on July 26. The hospital said the decision was made because revenue was down due to the suspension of elective procedures.

9. Mad River Community Hospital, a 78-bed hospital in Arcata, Calif., is placing some employees on a full or partial furlough, according to Lost Coast Outpost. Hospital officials said the move is “essential” to ensure its doors remain open after the pandemic.

10. Citing challenges due to the COVID-19 pandemic, Oklahoma City-based Integris Health plans to furlough employees not involved in direct patient care, according to News 9. The furloughs are expected to be temporary. Affected employees will still receive health insurance benefits.

11. Abilene (Texas) Regional Medical Center has placed a small number of employees on furlough, according to KTXS, an ABC affiliate. Affected employees work in areas where services have been curtailed or suspended due to the COVID-19 pandemic.

April 8

1. MUSC Health, an eight-hospital system based in Charleston, S.C., said it would temporarily lay off 900 employees, or 5 percent of its workforce, to offset the financial hit caused by the COVID-19 pandemic. The temporary layoffs, which do not affect nonclinical workers, were effective April 7.

2. Nonclinical employees at Peoria, Ill.-based OSF HealthCare will be subject to mandatory paid time off or will be furloughed, the health system said April 7. The health system said the furloughs are necessary to help offset a revenue loss caused by the COVID-19 pandemic.

“It is important for the communities OSF has been called to serve for more than 142 years that we stabilize our financial position and protect our culture so we can continue to serve those communities, and our Mission Partners and their families in Illinois and Michigan,” said Mike Allen, CFO of OSF HealthCare. “Our priority remains equipping our frontlines with the resources they need to ensure the continuation of essential care, while protecting those providing that care.”

3. Citing a revenue and patient volume reduction caused by the COVID-19 pandemic, Holyoke, Mass.-based Valley Health System has furloughed 225 employees, according to Western Mass News. The furloughs affect about 11 percent of its workforce.

4. Odessa (Texas) Regional Medical Center has furloughed 60 employees to help offset a revenue loss due to the COVID-19 pandemic, CBS 7 reports. Affected employees will still receive insurance and are expected to be called back to work.

5. Medical Center Hospital in Odessa, Texas, has furloughed 30 staff members after the facility was ordered to suspend the lucrative elective procedures to save resources and staff to treat COVID-19 patients, according to CBS 7. The hospital has reassigned hospital workers to different areas, but Medical Center Hospital CEO Russell Tippin told the publication that it has been difficult.

“We’re in such a regulated industry that it’s hard,” Mr. Tippin told CBS 7. “You can’t take a pharmacist and put them in radiology. And you can’t take a radiologist and put them in pharmacy.”

6. Citing financial difficulties caused by the COVID-19 pandemic, Chillicothe, Ohio-based Adena Health System plans to furlough nonclinical workers in the coming weeks, according to a video from Adena CEO Jeff Graham.

7. In an effort to ease the financial damage caused by the COVID-19 pandemic, Amarillo, Texas-based BSA Hospital plans to furlough some of its employees for up to 90 days, according to ABC 7 Amarillo. 

8. Magnolia (Ark.) Regional Medical Center has furloughed an undisclosed number of nonclinical staff, including administrative and clerical workers, according to The Magnolia Banner News. The furloughs are expected to last at least two months. Affected staff will remain on the MRMC roster and maintain insurance, according to the report.

9. Caribou, Maine-based Cary Medical Center has furloughed a number of employees due to a drop in patient volume and revenue as a result of preparing for a COVID-19 patient surge, according to The Bangor Daily News. A majority of the furloughs affect support staff for physicians, according to the report.

10. In response to the COVID-19 pandemic, Hartford, Conn.-based Trinity Health of New England plans to furlough an undisclosed number of employees, according to The Hartford Courant. The majority of the furloughs will affect nonclinical workers.

“This will enable us to focus our resources on the functions directly related to essential COVID-19 patient care needs that we anticipate, while protecting people and helping prevent the spread of the disease,” Trinity Health of New England said in a statement to The Hartford Courant. 

April 7

1. Tulsa, Okla.-based HillCrest HealthCare System will furlough 600 employees for up to 90 days, according to local news station KRMG. The furloughs affect about 9 percent of staff and are a result of a decline in routine and elective procedures due to the COVID-19 pandemic.

2. Thomas Health System in South Charleston, W.Va., plans to furlough “less than 500” employees starting this week, according to the West Virginia Gazette Mail. In announcing the furloughs, the health system cited the suspension of nonemergent procedures due to the COVID-19 pandemic.

3. Citing a decrease in patient volume and revenue due to the pandemic, Cookeville (Tenn.) Regional Medical Center has furloughed 400 employees, according to Fox 17 News. 

“The pandemic created by COVID-19 has had a devastating impact not only in our community and state but across our entire country and the world that has required each of us to make sacrifices,” the hospital said in a statement to Fox 17 News. 

4. Cape Fear Valley Health, based in Fayetteville, N.C., plans to furlough an additional 350 employees, according to The Fayetteville Observer. The health system had already furloughed about 300 employees on March 27. The health system said since the first round of furloughs, its inpatient occupancy has dropped to 60 percent.

5. Citing a revenue and patient volume drop from the COVID-19 pandemic, Washington Court House, Ohio-based Fayette County Memorial Hospital has furloughed 71 of its 352 employees, according to radio station WKKJ. The furloughs are expected to last for 30 days.

6. M Health Fairview, a 10-hospital system in Minneapolis, is asking physicians, nurse practitioners and physician assistants in some clinics to volunteer to take a week of unpaid leave as a furlough, according to The Star Tribune.The system is taking volunteers for one-week physician furloughs through May 3. Those who volunteer will still receive benefits.

7. Mountain Home, Ark.-based Baxter Regional Medical Center plans to furlough an undisclosed number of employees to ease the financial hit from a decrease in volume and increased costs to prepare for the COVID-19 pandemic, according to local news station KTLO.  The furloughs are expected to be temporary. The hospital will reevaluate if additional measures are needed or if employees can return after four weeks.

8. Joplin, Mo.-based Freeman Health System plans to furlough an undisclosed number of employees after suspending elective procedures to prepare for the anticipated surge in COVID-19 patients, according to FourStatesHomepage.com

9. Lawrence (La.) General Hospital has placed 160 staff members on a four-week furlough, according to The Eagle Tribune. Most of the furloughs, which are expected to be temporary, affect nonclinical workers. Lawrence General has about 2,000 employees.

10. Froedtert Health has furloughed some workers, according to local news station Fox 6, which spoke to furloughed nurses from the Wauwatosa, Wis.-based system on the condition of anonymity.

April 6

1. Huntington, W.Va.-based Mountain Health Network furloughed 550 employees and cut the hours of 450, according to local news station WSAZ. The furloughs are a result of the financial and resource strain prompted by the COVID-19 pandemic.

2. LRGHealthcare, based in Laconia, N.H., plans to furlough 600 employees for up to four months to cope with the financial effects of the COVID-19 pandemic, according to the Laconia Daily Sun. Affected employees will keep their medical insurance and can receive unemployment compensation.

3. Citing a 35 percent reduction in revenue due to the COVID-19 pandemic, Columbia, Tenn.-based Maury Regional Health will furlough 340 employees this week, according to The Columbia Daily Herald. Maury Regional Health employs more than 3,000.

“We are experiencing unprecedented events as the COVID-19 pandemic evolves. After much deliberation, we were forced to make the difficult decision to furlough employees in the face of declining volumes and revenue. We plan to begin calling back employees as patient volumes normalize,” Maury Regional CEO Alan Watson told the Daily Herald.

4. Franklin, Tenn.-based Williamson Medical Center will furlough 200 employees due to a loss in revenue attributed to the COVID-19 pandemic and government mandates to postpone elective procedures, according to The Tenneseean. The furloughs, which began taking place April 1, are expected to be temporary.

5. Coos Bay, Ore.-based North Bend Medical Center has furloughed 130 employees to prepare for the novel coronavirus pandemic, according to TheWorldLink.com. The medical center is still providing insurance to the furloughed workers.

6. Citing a $16 million revenue loss in March due to the postponement of elective procedures, Sarasota (Fla.) Memorial Hospital will furlough an undisclosed number of employees, according to local news station WUSF. The hospital, which has 6,400 employees, expects to lose even more revenue in April and May due to the COVID-19 pandemic.

7. Dayton, Ohio-based Premier Health will furlough an undisclosed number of employees due to an anticipated financial hit from Ohio’s interim ban on nonessential surgeries, according to The Dayton Business Journal. The furloughs will affect employees that are not providing patient care.

8. Due to a loss in revenue and patient volume, Conway (S.C.) Medical Center plans to furlough about 100 employees who are not frontline care providers, according to WMBF. The hospital said the mandate on suspending elective procedures caused the revenue and volume drop.

April 3

1. Burlington, Mass.-based Wellforce, which includes four community hospitals, one academic medical center and a children’s hospital, has furloughed 719 workers, according to the Boston Business Journal. The affected employees will be furloughed for at least 90 days to help the system deal with the drastic volume decrease from suspending elective procedures. In addition, 1,236 employees will have their hours and pay reduced, according to the report.

2. Southbridge, Mass.-based Harrington Healthcare has furloughed 131 employees across its network this week, according to MassLive. About 20 of the 131 affected employees were “partially furloughed,” meaning their hours were significantly reduced, according to the report. Chris Canniff, the company’s vice president of administration and human resources, said the provider has seen a 50 percent decline in patient volume amid the COVID-19 pandemic. Furloughed employees will not be paid for four weeks.

3. Seattle-based Virginia Mason Medical Center said it has seen a 30 percent decline in revenue since the COVID-19 pandemic started and Gov. Jay Inslee ordered hospitals to suspend elective procedures. As a result, the system is furloughing an undisclosed number of employees, according to local station K5 News. Most of the affected employees are in nonclinical roles.

“We rely substantially on outpatient revenue to ensure our financial viability,” wrote medical center executives in an internal memo to Virginia Mason leaders obtained by K5 News. “This is an unprecedented time and it calls for drastic measures.”

4. Citing drastic revenue decreases and increased expenses, Columbus, Ohio-based Mount Carmel Health System will furlough nonclinical staff, according to ABC 6. The health system said fewer than 500 employees will be affected. The system employs more than 10,000. In addition to the furloughs, the health system is implementing pay cuts for executives and physicians, according to the report.

5. Atlantic City, N.J.-based AtlantiCare has furloughed some of its workers due to the COVID-19 pandemic, according to NJ.com. In addition, the system has asked staff members, including nurses and physicians, to voluntarily take a furlough or a reduction in their hours, according to Press of Atlantic City. The staffing changes began taking place March 30. The changes are considered temporary, and affected employees will keep their benefits.

6. Citing a drop in patient revenue due to government mandates to help the COVID-19 pandemic, Dayton, Ohio-based Kettering Health Network is placing some of its employees on furlough, according to the Dayton Business Journal. 

7. New Bedford, Mass.-based Southcoast Health will furlough some staff not actively involved in patient care efforts because the health system is absorbing a deep revenue hit, according to Southcoast Today. The health system will pay a portion of furloughed employees’ insurance premiums through June 30.

April 2

1. Livonia, Mich.-based Trinity Health plans to furlough 2,500 employees. The system made the decision to help offset the financial hit from COVID-19. Most of the affected employees are in nonclinical roles.

2. Boston Medical Center is furloughing 700 staff members, or 10 percent of its workforce, due to financial losses from the COVID-19 pandemic. Kate Walsh, CEO of Boston Medical Center, told The Globe that the hospital has lost about $5 million in revenue per week, and that the furloughs will help save the system about $1 million per week.

3. Citing a revenue hit from the COVID-19 pandemic, Cincinnati-based Bon Secours Mercy Health will furlough 700 employees and freeze wages of all nonclinical personnel. The furloughs are expected to begin next week and last 30 to 90 days, depending on how long the pandemic lasts, according to Bon Secours Mercy Health CEO John Starcher. Bon Secours Mercy Health estimates it will see an operating loss of at least $100 million per month while the pandemic lasts.

4. Citing a severe disruption in services due to the COVID-19 pandemic, Duluth, Minn.-based Essentia Health has placed about 500 nonclinical staff on administrative leave.

5. Hartford-based Connecticut Children’s Medical Center is furloughing 400 employees across its system due to the expected financial hit from COVID-19, according to The Hartford Courant. The system said its patient volume has been cut in half due to halting elective procedures. Furloughed employees are mainly nonclinical workers, and are expected to return to work in early June, or when elective procedures can resume.

6. Clay County Medical Center, a 25-bed hospital in Clay Center, Kan., has furloughed 25 percent of its staff in response to the COVID-19 pandemic, according to The Clay Center Dispatch. It has about 300 employees, according to its website.

7. Williamson Medical Center in Franklin, Tenn., will temporarily furlough 200 employees to sustain its financial resources during the COVID-19 pandemic.

8. Dallas-based Steward Health Care is informing employees to expect furloughs at its facilities across the U.S. as the system works to overcome the “seismic shock” of the COVID-19 pandemic. The health system said it has started a temporary furlough program for some employees of its hospitals in nine states. Most affected staff work in nonclinical jobs.

9. Huntsville (Ala.) Hospital System, faced with expenses and a loss of revenue due to the novel coronavirus, has implemented a cost reduction plan that includes furloughs, according to AL.com. Huntsville Hospital said April 9 that it had to furlough or cut hours for 2,000 employees.

10. Syracuse, N.Y.-based St. Joseph Health plans to furlough an undisclosed number of workers as it prepares to deal with an “unprecedented fiscal fallout” from the COVID-19 pandemic, Syracuse.com reports. St. Joseph Health will also cut pay for senior management.

11. Baptist Health in Little Rock, Ark., has started furloughing an undisclosed number of employees this week to address an expected revenue loss from the pandemic.

12. Little Rock-based Arkansas Heart Hospital has furloughed workers due to the interruption of normal hospital operations.

March 27 to April 1

1. Citing the financial hit from the COVID-19 pandemic, Greenville, S.C.-based Prisma Health said it will furlough an undisclosed number of clinical, corporate and administrative workers. On April 9, Prisma Health executives told legislators that it was forced to furlough or cut hours for 3,900 of its 30,000 person workforce, according to The State.

2. Chattanooga, Tenn.-based Erlanger Health System said it is implementing a cost-reduction plan that includes furloughs and pay reductions for leadership. The moves were prompted by the COVID-19 pandemic. Administrative employees also are affected by the furlough.

3. Appalachian Regional Healthcare, a 13-hospital system in Lexington, Ky., will furlough about 500 employees due to a sharp reduction in business and revenue.  In addition to the financial aspect, Appalachian Regional said its decision was to protect employees not involved in direct patient care from contracting the novel virus and ensure that the health system has enough supplies to treat the anticipated surge of COVID-19 patients.

4. Cleveland-based St. Vincent Charity Medical Center has furloughed about 70 employees amid the COVID-19 pandemic. Affected employees include nurses, surgical assistants, clerical and other support staff.

5. Morehead, Ky.-based St. Claire HealthCare announced it will furlough 300 employees who are not involved in direct patient care to ensure it can sustain clinical operations during and after the COVID-19 pandemic.

6. Astoria, Ore.-based Columbia Memorial Hospital has furloughed 90 of its 740 employees after the facility scaled back nonemergent procedures to concentrate on the coronavirus.

7. Citing the spreading and unforgiving demands of the COVID-19 pandemic, Canton, Ohio-based Mercy Medical Center has furloughed workers. The move came shortly after the state ordered hospitals to suspend elective surgeries and procedures to free up capacity and supplies to treat COVID-19 patients.The number of staff affected was not disclosed.

8. Meadville (Pa.) Medical Centehas furloughed more than 225 employees to ensure the hospital’s financial stability. The hospital said the furlough is expected to last through April 5, but warned an extension is possible if the pandemic continues to affect business operations and revenue.

9. To help the system survive the economic challenges linked to the COVID-19 pandemic, Rockford, Ill.-based Mercyhealth has furloughed an undisclosed number of employees who are not providing direct patient care.

10. In response to the COVID-19 pandemic, Lewisburg, Pa.-based Evangelical Community Hospital has furloughed a “significant” number of employees who are not involved in direct patient care.

 

 

 

 

Another 5.2 million jobless claims filed last week amid coronavirus crisis

https://www.axios.com/coronavirus-unemployment-filings-caded026-fce4-43cc-8dc0-5f0037747b69.html?stream=top&utm_source=alert&utm_medium=email&utm_campaign=alerts_all

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Another 5.2 million Americans filed for unemployment last week, the Labor Department announced Thursday.

Why it matters: With the more than 16 million jobless claims filed over the past three weeks, more jobs have now been lost in the last month than were gained since the Great Recession.

The big picture: The weekly unemployment filings report has become a must-watch for Wall Street and economists. It offers the timeliest glimpse into how efforts to contain the coronavirus outbreak are ravaging the job market.

  • And economists say that as bad as these weekly numbers look on the surface, they’re likely even higher. There are widespread complaints that state labor departments are having trouble processing the never-before-seen wave of jobless filings.

The bottom line: In just one month, the coronavirus economic shutdown has caused a staggering 22 million Americans to lose their jobs.

 

 

 

Quest Diagnostics furloughing 4,000 employees

https://www.beckershospitalreview.com/supply-chain/quest-diagnostics-furloughing-4-000-employees.html?utm_medium=email

Quest Diagnostics is a monopoly, schemed with insurers, California ...

Quest Diagnostics, the commercial lab that has performed about 800,000 COVID-19 tests, is furloughing more than 4,000 employees, which is about 9 percent of its workforce, CBS News reports.

Demand for COVID-19 testing has only partially offset a sharp drop in business for the company, according to CEO Steve Rusckowski.

The Secaucus, N.J.-based company has so far performed about 800,000 COVID-19 tests, making up about 40 percent of all testing done by commercial labs in the U.S. The company can process 45,000 diagnostic tests per day. 

But, Quest saw its overall testing volumes drop by more than 40 percent in the last two weeks of March, CBS News reported.

In addition to the furloughs, members of the company’s executive board are all taking 25 percent pay cuts for the next 12 weeks and other employees’ salaries are being cut between 5 percent and 20 percent. 

Quest has also suspended 401(k) matching for its employees and is dismissing temporary contract workers. 

The company said its cost-cutting efforts won’t impact COVID-19 testing.

Read the full article here.

 

 

 

Cartoon – Society Going Cashless

Today's cartoons: Getting used to a cashless society – Orange ...

What Will U.S. Labor Protections Look Like After Coronavirus?

https://hbr.org/2020/04/what-will-u-s-labor-protections-look-like-after-coronavirus?utm_medium=social&utm_source=facebook&utm_campaign=hbr&fbclid=IwAR1fNFaJM-Tz1jCoBQ3bTVJG5zdbuqcExQOujKz87J34csjOhRLm8C2Dxjo

As I was writing the draft of this article, I was checking my symptoms and awaiting the results of a test I underwent for Covid-19. This virus has upended my life, as it has for every last one of us, no matter where we fall on the socio-economic scale.

But the consequences fall more heavily on those at the bottom end of the wage distribution. That includes those risking their health as they sell us groceries, check our vitals, and sanitize our hospitals. Easily lost amid the chaos, however, is how this crisis may be an opportunity to improve employee protections — and not temporarily but permanently.

During bull markets, employers and policymakers often paint the hardships befalling low-wage workers as stemming from those workers’ personal failures. But when markets crash, we learn how these workers’ troubles were indicative of persistent, system-wide weaknesses.

As Warren Buffett wrote of the insurance failures exposed by 1993’s Hurricane Andrew, “It’s only when the tide goes out that you learn who’s been swimming naked.” Pundits cite Buffet to refer to firms that appear healthy during bull markets, only to get eaten alive during downturns. This month, however, the markets exposed a new group of skinny dippers: a government and an economic system that fail workers, and employers who haven’t or can’t fill this gap in public policy.

In response to the novel coronavirus, the stock market has been mostly in a free fall since late February. The low-wage service sector is facing widespread layoffs. And the tumbling markets have uncovered other deep inequalities among workers, who fall into two groups: those with access to employment protections like affordable healthcare, remote work accommodations, paid time off, and job security — and those without.

This second group, which includes the working class, often lack healthcare or face high out-of-pocket expenses. There are nearly 24 million uninsured working-age adults in the United States. Those with only a high school diploma or who did not complete high school are the least likely to be insured. Moreover, racial and ethnic minority groups face significant barriers to “good jobs.” They form 60% of the uninsured population but only 40% of the total population.

A quarter of all U.S. workers have no access to paid sick leave. Work-from-home options are slim, but many can’t afford not to work. Among workers at the bottom 10th of the earnings distribution, only 31% have paid sick leave. For comparison, 94% of the top 10% of earners have paid sick leave.

While many professionals enjoy protections that can help them ride out the pandemic with their livelihoods and family’s health intact, workers in the low-wage service sector have few options or resources to stay home to care for themselves, let alone their loved ones. And that burden to provide care largely falls on women. The workers lacking healthcare and paid sick leave are also the most vulnerable to layoffs and lost hours. The fate of service workers in travel and food services indicate what’s to come. Similarly, gig economy workers, migrant laborers, and those in the informal economy are particularly vulnerable.

How did we get here? Since the late 1970s, executives have prioritized boosting dividends for shareholders over protecting their employees, whose work has been outsourced, digitized, and downsized. In our book, Divested: Inequality in the Age of Finance, Ken-Hou Lin and I show how this shift in corporate governance undermined workers’ bargaining power. Although insurance coverage increased from the Affordable Care Act, overall working conditions, protections, and pay have diminished.

A more robust safety net would help to mitigate the consequences for workers today as it shores up the economy against future downturns. For years, U.S. policymakers have considered universal healthcare impractical because of its large scope and high startup costs. But as new unemployment claims surge to historical levels and Americans face the medical precarity of a pandemic, this crisis has laid bare the underlying problem of linking healthcare to employment.

Sick leave and universal healthcare would ease the stressors workers face and ensure the sick have time to recover, making them more productive when they return to work. Without the costs of insuring workers, employers could pay more. An income boost would generate more spending and stimulate the economy.

Broader protections would also support the self-employed, contract workers, and prospective entrepreneurs. The United States has lower rates of self-employment (6.3%) than countries with universal healthcare (e.g., Spain has 16%), and a lower share of employment at small businesses than any OECD country except Russia. Reducing the reliance on big businesses would free workers to find jobs that better fit their skills, creating a more nimble and innovative economy.

The current moment provides an opportunity to make lasting changes to the status quo and improve conditions for all workers. As sociologists have theorized, crises and crashes expose cracks in the systems upholding inequality. And history provides a clue for how crises can provide opportunities to transform society in ways that reduce inequality. After the Great Crash of 1929, unemployment spiked, reaching 25% by 1933. In less than three years, Franklin D. Roosevelt’s New Deal reduced unemployment to 9%.The New Deal achieved this feat through a vast and broad range of public works and conservation projects.

The New Deal transformed American society — from erecting iconic buildings and statues, to saving the whooping crane, to developing the rural United States, to planting a billion trees. New Deal workers built and renovated 2,500 hospitals, 45,000 schools, and 700,000 miles of roads. The New Deal hired 60% of the unemployed, including 50,000 teachers and 3,000 writers and artists, such as Jackson Pollock and Willem de Kooning. The New Deal modernized, preserved, and employed the country, while reducing inequality between the haves and have-nots.

Facing a similar economic threat in the wake of the pandemic, we have a comparable once-in-a-century opportunity to make lasting changes that address the pressing problems of today, from inequality to climate change.

In today’s crisis, we could double down on the “trickle-down” approach of the 2008 financial crisis: stimulus to the banks, corporations, and their investors combined with tax cuts and temporary wage support as a short-term Band-Aid for immiserated workers. But Lin and I find that this approach left many workers flailing and worsened inequality, because the banks deposited, rather than invested, the stimulus funding and corporations borrowed the money to buy back their stocks, enriching top executives and shareholders.

Last week, the president signed into law a sweeping $2 trillion plan that combines money for states, loans for distressed businesses, and tax relief, paid leave, unemployment benefits, and cash for most citizens. But this plan only gives workers temporary benefits. Although the bill has stricter oversight and restricts buybacks, it is unlikely to reduce inequality unless it addresses the structural conditions making some workers more vulnerable.

While a New Deal approach may be infeasible amid a contagious virus, we can and should enact permanent policies protecting all workers. Sick leave and healthcare should be universal rights. We could adopt a “flexicurity” labor policy modeled on the Danish one. The Danes provide both flexibility for employers to hire and fire workers as needed and security for workers through generous benefits and retraining opportunities during unemployment.

Meanwhile, in my household, after 2.5 weeks of symptoms—from a dry cough to a tight chest to a low fever—my test results came back negative. Thanks to the healthcare and insurance provided by my employer, I will continue to do the work I care about.

While I am on the mend, the workers who sell our groceries, serve us food, clean our workplaces, and drive us to the doctor also need to take care. In this pandemic, they are risking their health and lives. And they deserve the same level of care as the people they serve: access to both preventative medicine and comprehensive treatment, and time to take a break, recover, and care for their loved ones. The coronavirus is our chance to extend these protections during times of crisis and far into the future.

 

 

Pay Cuts, Furloughs, Redeployment for Doctors and Hospital Staff

https://www.medpagetoday.com/infectiousdisease/covid19/85827?xid=nl_mpt_investigative2020-04-08&eun=g885344d0r&utm_source=Sailthru&utm_medium=email&utm_campaign=InvestigativeMD_040820&utm_term=NL_Gen_Int_InvestigateMD_Active

Pay Cuts, Furloughs, Redeployment for Doctors and Hospital Staff ...

— Health systems see massive disruption from COVID-19

In Michigan, Trinity Health is furloughing 2,500 of its 24,000 employees. In Florida, Sarasota Memorial Health Care is taking “immediate steps to reduce costs, including temporary furloughs and reduced hours” for workers.

In less than 1 month, COVID-19 has made swift, deep cuts in hospital billings. Despite high volumes in the first 2 weeks, March revenue plunged by $16 million at Sarasota Memorial. Surgery cases fell by more than 50%, and volumes dropped by 45% at two emergency care centers and by 66% at seven urgent care centers.

Squeezed by plummeting income and climbing COVID-19 expenses, hospitals and health systems are bracing themselves for system-wide disruption by announcing temporary layoffs, reassignments, and pay cuts.

Many changes, like Trinity’s furloughs in Michigan, affect mainly non-clinical workers. Some alter compensation or duties for doctors, nurses, and other healthcare providers.

“In all parts of the country, physicians are being asked to sign agreements or acknowledgments for pay cuts ranging from 20% to 75%, depending on what their specialty is, where they are, and what the institutions are doing,” said Scott Weavil, JD, a California lawyer who counsels physicians nationwide about employment contracts.

“Many of these providers are not on the front lines of COVID, but they are still working,” Weavil noted. “Babies are being born. People are having accidents and visiting emergency departments. Urgent surgeries are happening. Physicians are at work or on call and ready to help if needed. And in most of these environments, there are patients who have tested positive for COVID-19,” he told MedPage Today.

“Ob/gyns aren’t doing a lot of elective procedures like hysterectomies, but they are delivering babies for COVID-positive patients, wearing donated cloth masks that may or may not be effective,” Weavil added.

In some cases, doctors have been sidelined and face the prospect of dwindling income as patient volumes fall. “We have 2,600 physicians and advanced-practice providers,” said Mark Briesacher, MD, senior vice president and chief physician executive of Intermountain Healthcare in Salt Lake City. “About 800 of them are on a patient volume-related type of contract, similar to what you would have in private practice.”

Because non-urgent and elective procedures are being delayed, some of these clinicians now see 30% to 50% fewer patients and could face big income drops, Briesacher told MedPage Today. “But we’ve put a floor in place,” he said: these providers will receive their usual pay until May 30, then 85% of that amount until normal patient volumes resume.

Redeployment can help practitioners make up lost income, Briesacher added. “A general surgeon often has critical care training,” he noted. “When this increase in patient care needs due to COVID-19 does come to Utah, we can deploy that surgeon to work in our ICUs with a critical care doctor, and if they’re working fulltime, they’ll get paid the same as they were before.”

Reassignment does not stop with doctors at Intermountain: hospital nurses can be deployed to screening desks, drive-through testing sites, or telehealth centers and will keep their current rate of pay, spokesperson Daron Crowley said.

“I recently reviewed a COVID-19 compensation plan of a health system in Florida that would give physicians their base or draw, or a midpoint between their 2019 base and their 2019 overall compensation,” noted Weavil, the attorney. “That seemed pretty good, but it came at a cost: the physicians had to agree to practice outside of their normal setting, as long as they were credentialed for the work.”

“At first blush, the credentialing requirement sounded like a protection; if you are a psychiatrist, you’d think ‘they’re not going to send me to the ICU,’ and normally, that’s correct,” Weavil continued.

But hospitals are adopting emergency credentialing provisions during COVID-19 and “doctors can be forced to practice pretty far afield of their specialty,” he said. In some ways, the situation resembles residency, he pointed out: “You have an attending physician who knows what she’s doing directing fish-out-of-water physicians who have been conscripted into service beyond their specialties.”

The list of hospital systems announcing major changes — including pay cuts for hospital executives, as Trinity Health in Michigan has done — grows each day. Boston Medical Center Health System has furloughed 700 employees; Cincinnati-based Bon Secours Mercy Health has announced it will do the same. Kentucky’s Appalachian Regional Healthcare will furlough about 500 staff members. South Carolina’s Prisma Health will lay off an undisclosed number of clinical, corporate, and administrative workers. Tenet Healthcare in Dallas has furloughed 500 fulltime positions.

Furloughing staff “was an extremely difficult decision, and one that we did not make lightly,” Sarasota Memorial CEO David Verinder wrote in a letter to employees.

“Staff have gone above and beyond to care for our patients throughout this crisis, even as they have been anxious about the health and well-being of themselves and their families,” he continued. “But as the health care safety net for the region, we must do all we can to continue fulfilling that critical role in the weeks ahead and for the long-term.”

 

 

 

MUSC Health lays off 900 due to COVID-19 financial strain

https://www.beckershospitalreview.com/finance/musc-health-lays-off-900-due-to-covid-19-financial-strain.html?utm_medium=email

The Agenda: MUSC laying off 900 amid financial strain; McMaster's ...

MUSC Health, an eight-hospital system based in Charleston, S.C., is laying off about 900 employees and reducing pay for salaried workers to help offset financial damage caused by the COVID-19 pandemic.

Like many other health systems across the U.S., MUSC Health is facing financial pressure from canceling elective procedures and other nonemergent care. As a result, the health system has experienced a significant decline in surgical volumes, inpatient visits and ambulatory encounters.

MUSC Health announced April 6 that it has taken several steps to diminish continued financial damage caused by the pandemic. Those steps include delaying capital expenditures, reducing contractual services, transitioning 80 percent of outpatient visits to telehealth, reducing employee compensation and layoffs.

MUSC Health is laying off about 900 employees, roughly 5 percent of its more than 17,000-person workforce. The layoffs, which the health system described as “temporary,” were effective April 7, according to The Post and Courier. The layoffs will not affect frontline healthcare workers, MUSC Health CEO Patrick Cawley, MD, said during an April 6 press conference, according to the report.

The health system is also reducing pay for full-time salaried workers and its leadership team by 15 percent and 20 percent, respectively. Salary adjustments take effect next week.

“It is also important to emphasize that at this time, frontline health care team members, who have already seen fewer work hours due to COVID-19 response, will not see any additional pay cuts so that MUSC Health can continue to be prepared to face the public health crisis as it unfolds,” the health system said April 6.

MUSC Health said it is evaluating state and federal COVID-19 aid proposals, but not all of the proposed benefits apply to MUSC Health. “There are no guarantees on the timing or amount of these funds that MUSC Health may receive,” the system said.

 

 

 

During a Pandemic, an Unanticipated Problem: Out-of-Work Health Workers

https://www.yahoo.com/news/during-pandemic-unanticipated-problem-health-150355070.html

Jordan Schachtel on Twitter: "The people at The New York Times are ...

As hospitals across the country brace for an onslaught of coronavirus patients, doctors, nurses and other health care workers — even in emerging hot spots — are being furloughed, reassigned or told they must take pay cuts.

The job cuts, which stretch from Massachusetts to Nevada, are a new and possibly urgent problem for a business-oriented health care system whose hospitals must earn revenue even in a national crisis. Hospitals large and small have canceled many elective services — often under state government orders — as they prepare for the virus, sending revenues plummeting.

That has left trained health care workers sidelined, even in areas around Detroit and Washington, where infection rates are climbing, and even as hard-hit hospitals are pleading for help.

“I’m 46. I’ve never been on unemployment in my life,” said Casey Cox, who three weeks ago worked two jobs, one conducting sleep research at the University of Michigan and another as a technician at the St. Joseph Mercy Chelsea Hospital near Ann Arbor, Michigan. Within a week, he had lost both.

Mayor Bill de Blasio of New York has begged doctors and other medical workers from around the country to come to the city to help in areas where the coronavirus is overwhelming hospitals.

“Unless there is a national effort to enlist doctors, nurses, hospital workers of all kinds and get them where they are needed most in the country in time, I don’t see, honestly, how we’re going to have the professionals we need to get through this crisis,” de Blasio said Friday morning on MSNBC.

And the Department of Veterans Affairs is scrambling to hire health care workers for its government-run hospitals, especially in hard-hit New Orleans and Detroit, where many staff members have fallen ill. The department moved to get a federal waiver to hire retired medical workers to beef up staff levels.

But even as some hospitals are straining to handle the influx of coronavirus patients, empty hospital beds elsewhere carry their own burden.

“We’re in trouble,” said Gene Morreale, the chief executive of Oneida Health Hospital in upstate New York, which has not yet seen a surge in coronavirus patients.

Governors in dozens of states have delivered executive orders or guidelines directing hospitals to stop nonurgent procedures and surgeries to various degrees. Last month, the U.S. surgeon general, Dr. Jerome M. Adams, also implored hospitals to halt elective procedures.

That has left many health systems struggling to survive.

Next week, Morreale said, Oneida will announce that it is putting 25% to 30% of its employees on involuntary furlough. They will have access to their health insurance through June. Physicians and senior staff at the hospital have taken a 20% pay cut.

“We’ve been here 121 years, and I’m hoping we’re still there on the other side of this,” Morreale said.

Appalachian Regional Healthcare, a 13-hospital system in eastern Kentucky and southern West Virginia, has seen a 30% decrease in its overall business because of a decline in patient volume and services related to the pandemic. Last week, the hospital system announced it would furlough about 8% of its workforce — around 500 employees.

Hospital executives across the country are cutting pay while also trying to repurpose employees for other jobs.

At Intermountain Healthcare, which operates 215 clinics and 24 hospitals in Utah, Idaho and Nevada, about 600 of the 2,600 physicians, physicians assistants and registered nurses who are compensated based on volume will see their pay dip by about 15%, said Daron Cowley, a company spokesman.

Those reductions are tied to the drop in procedures, which has fallen significantly for some specialties, he said. The organization is working to preserve employment as much as possible, in part by trying to deploy 3,000 staff members into new roles.

“You have an endoscopy tech right now that may be deployed to be at hospital entrances” where they would take the temperatures of people coming in, Cowley explained.

In Boston, a spokesman for Partners HealthCare, with 12 hospitals, including Massachusetts General and Brigham and Women’s, said staff members whose work has decreased are being deployed to other areas or will be paid for up to eight weeks if no work is available.

But redeployment is not always an option. Janet Conway, a spokeswoman for Cape Fear Valley Health System in Fayetteville, North Carolina, said many of the company’s operating room nurses trained in specialized procedures have been furloughed because their training did not translate to other roles.

“Those OR nurses, many have never worked as a floor nurse,” she said.

Conway said nearly 300 furloughed staff members have the option to use their paid time off, but beyond that, the furlough would be unpaid. Most employees are afforded 25 days per year.

Some furloughed hospital workers are likely to be asked to return as the number of coronavirus cases rise in their communities. But the unpredictable virus has offered little clarity and left hospitals, like much of the economy, in a free fall.

Many health systems are making direct cuts to their payrolls, eliminating or shrinking performance bonuses and prorating paychecks to mirror reduced workload until operations stabilize.

Scott Weavil, a lawyer in California who counsels physicians and other health care workers on employment contracts, said he was hearing from doctors across the country who were being asked to take pay cuts of 20% to 70%.

The requests are coming from hospital administrators or private physician groups hired by the hospitals, he said, and are essentially new contracts that doctors are being asked to sign.

Many of the contracts do not say when the cuts might end, and are mostly affecting doctors who are not treating coronavirus patients on the front lines, such as urologists, rheumatologists, bariatric surgeons, obstetricians and gynecologists.

Such doctors are still being asked to work — often in a decreased capacity — yet may be risking their health going into hospitals and clinics.

“It’s just not sitting well,” Weavil said, noting that he tells doctors they unfortunately have few options if they want to work for their institution long term.

“If you fight this pay cut, administration could write your name down and remember that forever,” he said he tells them.

In other cases, physicians are continuing to find opportunities to practice in a more limited capacity, like telemedicine appointments. But that has not eliminated steep pay cuts.

“Physicians are only paid in our clinic based on their productivity in the work they do,” said Dr. Pam Cutler, the president of Western Montana Clinic in Missoula. “So they’re automatically taking a very significant — usually greater than 50% or 25% — pay cut just because they don’t have any work.”

In some areas, layoffs have left behind health care workers who worry that they will not be able to find new roles or redeploy their skills.

Cox in Michigan said he was briefly reassigned at his hospital, helping screen and process patients coming in with coronavirus symptoms, but eventually the people seeking reassignments outgrew the number of roles.

He also expressed concern that inevitable changes in the health care industry after the pandemic — paired with the possibility of a lengthy period of unemployment — could make it difficult to get his job back.

“I’m just concerned that the job I got laid off from may not be there when this is over,” Cox said. “The longer you’re away, the more you worry, ‘Am I going to be able to come back?’ So there’s a lot of anxiety about it.”

Even as many of the largest hospital networks grapple with sudden financial uncertainty, much smaller practices and clinics face a more immediate threat.

According to a statistical model produced by HealthLandscape and the American Academy of Family Physicians, by the end of April, nearly 20,000 family physicians could be fully out of work, underemployed or reassigned elsewhere, particularly as cities like New York consider large-scale, emergency reassignments of physicians.

“Many of these smaller practices were living on a financial edge to start with, so they’re not entering into this in a good position at all,” said Dr. Gary Price, the president of the Physicians Foundation. “Their margins are narrower, their patients don’t want to come in, and many of them shouldn’t anyway, so their cash flow has been severely impacted and their overhead really hasn’t.”