Augusta-based MaineGeneral Health has revised its layoff plans after announcing in March it planned to eliminate about 100 full-time equivalent roles in mid-April.
The health system now aims to identify $30 million in savings, President and CEO Nathan Howell said in a statement shared with Becker’s on April 15. He cited reimbursements that do not cover the cost of care and rising costs as financial challenges driving the changes.
“We cannot continue with ‘business as usual.’ There are no easy, painless cuts left to make, or easy revenue streams to tap into,” Mr. Howell said in the statement. “While we continue to look to create more revenue, we must make reductions in discretionary spending, labor and benefits and programming.”
Here are five updates to know.
1. Positions affected: MaineGeneral Health has identified 148 positions for reductions. Of those, 20 employees had their roles eliminated.
2. Staffing adjustments: Of the 148 roles, 54 are unfilled and will be closed, 60 employees have been offered redeployment and 14 will have reduced hours.
3. Inpatient rehab conversion: The system’s inpatient physical rehabilitation unit will convert to medical-surgical beds on May 8 to extend inpatient capacity. MaineGeneral plans to reorganize rehabilitation services and redeploy affected staff. Patients will transition to other existing services.
4. Outpatient reductions: Workplace health services at the Thayer Center for Health in Waterville will be reduced, effective June 2. Additionally, the anticoagulation and diabetes and nutrition clinics will move from five-day to four-day weekly operations.
5. Spending freeze: A spending freeze through the end of the fiscal year on June 30 is expected to save approximately $4.2 million.
