From MultiCare to Trinity Health: 5 major layoffs kick off September

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The month of September kicked off with a fresh round of workforce reductions across the healthcare landscape, with several organizations feeling the pressure of rising labor and supply costs, shifting reimbursements and pressure to streamline operations.

Below are five layoffs that Becker’s has covered in September:

1. Conifer Health Solutions, the revenue cycle management arm of Dallas-based Tenet Healthcare, will lay off 1,037 employees Nov. 2 as its contract with Chicago-based CommonSpirit ends. 

Remote-based employees who report to Conifer’s office in Dallas are primarily affected by the layoffs. Tenet shared plans in February to regain full control of Conifer as CommonSpirit exits the joint venture, bringing its revenue cycle operations in-house. CommonSpirit will pay Tenet about $1.9 billion over the next three years under the agreement. 

2. Tacoma, Wash.-based MultiCare Health System shared plans Sept. 9 to eliminate approximately 138 positions across the organization amid ongoing industry pressures. Of the affected positions, 83 are part of MultiCare’s decision to close multiple clinics in Spokane, Wash. The remaining positions are a mix of leadership and support services roles. Staff and providers are among the 83 eliminated positions. The system said it is working with them to offer information, resources and support regarding other available opportunities at the system. 

3. Livonia, Mich.-based Trinity Health’s outsourcing of IT service desk and applications support work will affect 557 positions. The health system shared outsourcing plans June 18, and said the work would transition to an outside technology partner by the end of 2026. Trinity Health did not disclose how many employees would be affected at the time.

The WARN notice, filed Sept. 3, detailed 120 affected job titles, including 49 “IS Service Desk Support I” positions, 17 positions each in “IS Service Desk Support II” and “Sys Admin II Wintel Server.” Additional affected roles span applications analysis and engineering, identity and access management, database administration and imaging analysis.

4. Palo Alto, Calif.-based Stanford Health Care will lay off 95 employees, with those affected to remain on the payroll with benefits until Nov. 2. The layoffs affect employees across Stanford’s technology, digital solutions and other administrative departments, with about 80 specifically affected in its technology and digital services. The cuts are part of a regular review of the system’s operations and patient needs. 

Some of the roles include senior manager of information technology, senior manager of data engineering, clinical informatics analyst, director of clinical applications, director of digital health tech, director of IT program and network of care, director of IT sourcing and ops, IT program manager and lead clinical informatics analyst.

5. Walnut Creek, Calif.-based John Muir Health will lay off 75 employees, or approximately 1% of its workforce. The layoffs affect mainly leadership positions, administrative services employees and those that do not provide direct patient care. The reductions aim to compress layers at the system to accelerate decision-making and speed implementation of strategic initiatives. 

Affected employees were given more than 60 days notice and will receive pay and benefits through Oct. 28. Those that do not find another position at John Muir will receive a severance package offer.

At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.

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