New Jersey hospital executives take pay cut after dramatic drop in revenues

Shore Medical Center in Somers Point, N.J., is taking several steps to offset the revenue losses caused by the COVID-19 pandemic. 

The hospital is experiencing a significant decrease in revenues after canceling elective surgeries and other scheduled services and investing in protective gear for employees treating COVID-19 patients, according to Patch. To help overcome its difficult financial position, the hospital's senior leadership team is taking pay cuts of between 25 percent and 35 percent of their salary and making donations to the hospital's COVID-19 emergency fund. 

The hospital is also reducing hours for some staff to shift resources to patient care and offering nonclinical workers the option of taking voluntary layoffs, according to the report. 

"Nothing is more important than the safety of our staff and the ability to provide the highest level care to our patients," a hospital spokesperson told Patch. "The voluntary layoff option is one of the ways we are trying to avoid what is happening and likely to happen with other hospitals, including closures and mass layoffs." 

More articles on healthcare finance:
Cash-strapped rural hospitals brace for surge of COVID-19 patients
West Virginia hospital to close after COVID-19 disrupts sale process
North Carolina health system furloughs 300 employees

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