The medical center told investors May 20 that it reduced its workforce by furloughing 775 employees and permanently laying off 208 employees.
Mount Sinai President and CEO Steven Sonenreich told the Business Journal that the workforce reductions affected employees in nonclinical positions, including revenue cycle management staff.
The furloughs reduced payroll by $3 million in April and the layoffs are expected to save the system $11.1 million in payroll expenses this year.
“We are trying to be responsible as fiduciaries, and we are protecting the organization, not only today, but heading into the future and trying to reduce our expenses as much as we possibly can,” Mr. Sonenreich told the Business Journal. “That requires some very difficult decisions.”
In the first quarter ended March 31 the medical center stated that it lost $10.7 million from operations as patient volume dipped. It expects to incur a bigger hit in the second quarter, which will include April and May, according to the report.
Read the full article here.
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