New York system lays off 49, including 25 leaders

Middletown, N.Y.-based Garnet Health on July 7 laid off 49 employees, including 25 leaders, to offset recent operating losses. 

The reductions represent 1.13 percent of Garnet's total workforce, and $13 million in salaries and benefits. Garnet cited various financial challenges as a reason for the cuts, including including the rising cost of supplies and equipment, the high cost of temporary labor, low payer reimbursements and a decrease in patient volumes and revenue.

"It is with a heavy heart that this decision had to be made," Garnet President and CEO Jonathan Schiller, said in a news release. "We tried hard to avoid a layoff. Unfortunately, a fair and honest response to the health system's operating losses required an adjustment to the size of our workforce."

Affected staff have been notified and severance packages have been provided to all full- and part-time employees, according to the health system. Eliminated positions were non-union, and no employees providing direct patient care were affected.

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