Iowa hospital closes, lays off 151 workers

Blessing Health System closed its hospital in Keokuk, Iowa, Sept. 30. 

Quincy, Ill.-based Blessing Health said the decision to close the hospital was driven by several factors, including financial challenges and low demand for inpatient care. "The hospital has been in a financial crisis for 10 years," the health system said in a news release.

The closure will affect 151 workers, according to a notice Blessing Health filed with state regulators. The layoffs take effect Nov. 4. The employees will do on-site work or be placed on administrative leave until the layoff date, Blessing Health said.

Blessing Health, which took over management of the hospital in March 2021, said the hospital property will be put up for sale.

Blessing Health Keokuk is one of 10 hospitals to close this year. Other hospitals have closed due to dwindling patient volumes and cashflow and staffing challenges. 



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