The health system, whose parent company is Highmark Health, reported an overall loss of $198.2 million compared with a loss of $13.7 million for the same period last year. Operating income, excluding any investment declines, totaled a loss of $116.2 million versus a $41.7 million loss in 2021.
“AHN has experienced an increase in labor costs driven by staffing shortages and higher wage rates resulting from the usage of agency staffing, needs-based bonuses and overtime,” management said in a statement accompanying the results. Contracted labor costs more than tripled in the period to total $146 million.
CEO and president of AHN, Cynthia Hundorfean, is taking up a role as chief living health development officer in the new year to consolidate the system’s value-based care model.
