Michigan hospital preps to lay off 194 workers as closure looms

Sturgis (Mich.) Hospital is planning to close by the end of July if it is unable to quickly secure new funding or find a buyer, MBiz reported June 28. 

The rural hospital said in a notice filed with that state that it will begin laying off 194 employees around July 9 as it begins scaling back services. Unless funding or a buyer is secured by early July, the hospital will close around July 23, according to the Worker Adjustment and Retraining Act notice cited by MBiz

Sturgis Hospital said it is seeking capital and exploring business combinations with healthcare companies and investment groups to avoid closure. The hospital has been seeking a buyer since 2018, according to the report. 

Sturgis Hospital COO and CFO Bobby Morin said there's a chance the hospital could avoid shutting down if the state budget, which will be finalized by July 1, provides the hospital with bridge funding until other financing is secured.

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