New Mexico hospital workers laid off; CEO cites declining patient demand

Rehoboth McKinley Christian Health Care Services in Gallup, N.M., is cutting roughly 80 jobs because of declining patient volumes, according to the Gallup Independent

The layoffs come as the hospital recorded a $14 million loss in 2020, largely due to the suspension of elective procedures during the pandemic.

The hospital's interim CEO Don Smithburg told the newspaper that federal COVID-19 relief aid gave "only a temporary reprieve from financial challenges that have been persistent for years. ...For us to remain a vital resource for our region, we must do the hard work to right-size the organization to meet current patient demand."

Twenty-seven of the job eliminations are from May, when Rehoboth McKinley closed its WellSpring Recovery Center in Gallup. Another 27 vacant positions were eliminated. The hospital also ended 18 contracts with temporary and traveling employees and laid off six physicians and staff members, according to the Gallup Independent.

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