10 Largest Hospital Layoffs of 2013
This year, hospitals and health systems of varying sizes and types cut jobs from their workforces. The reason for the rash of layoffs can be traced back to several issues impacting the nation's hospitals in 2013: the sequester cuts, Medicaid expansion issues, lower patient volumes and an increase in bad debt are just a few.
The following are the 10 largest hospital and health system workforce reductions covered by Becker's Hospital Review this past year. They are listed below by the number of employees and/or positions affected, starting with the greatest number. The workforce reductions were implemented through layoffs, reduced hiring, reduced employee hours, attrition and the elimination of vacant positions.
1. LSU Hospitals. Hospitals within Baton Rouge-based Louisiana State University Health Care Services Division laid off 2,340 employees in its 2012-13 fiscal year, which ended June 30, 2013.
2. Franciscan Alliance. The Mishawaka, Ind.-based system cut 125 positions from its Illinois facilities in September and announced plans to lay off an additional 275 employees and eliminate 650 more positions in its Indiana facilities. In total, 1,050 employees were affected by the workforce reduction.
3. Vanderbilt University Medical Center. VUMC in Nashville, Tenn., planned to lay off 1,033 employees by the end of 2013. The major workforce reduction is part of VUMC's attempt to cut $250 million from its operating budget over its next two fiscal years.
5. St. Vincent Health. After announcing layoff plans in May, the 22-hospital system based in Indianapolis eliminated about 865 jobs this summer, cutting its labor budget by 5 percent.
6. SSM Health Care. The St. Louis-based system cut 586 positions through layoffs and attrition this year. Of the 586 eliminated jobs, 206 were in St. Louis.
7. PeaceHealth. PeaceHealth in Vancouver, Wash., slashed 500 total jobs throughout its system through layoffs, attrition and reduced hours this year.
8. Via Christi Health. The Wichita, Kan.-based system cut 4 percent of its workforce — roughly 350 or 400 positions — this summer through layoffs and the elimination of vacant positions.
9. Denver Health. The system announced plans this year to reduce its workforce by 5 percent by cutting about 300 jobs through layoffs, attrition and a reduction in new hires.
10. Detroit Medical Center. The eight-hospital system cut about 2 percent of its full-time equivalent positions this year, affecting 300 employees.
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