The decision affects 42 employees in non-direct patient care positions. The other 158 positions were unfilled, open positions, according to Roxanna Ross, the communications coordinator for Cape Fear Valley Health. Ms. Ross told the Observer that employees were informed on Oct. 27.
Cape Fear Health recently eliminated 56 positions from Dunn, N.C.-based Harnett Health, according to the Observer.
Cape Fear Valley Health CEO Michael Nagowski cited unprecedented expenses and revenue challenges stemming from labor shortages, high costs of temporary staffing wages, and inflation as reasons for the layoffs.
“Eliminating these positions was a difficult decision as we realize these are challenging times across our country. This decision will allow us to increase efficiencies to help offset the unprecedented financial challenges that we are seeing with historic increases in premium labor expenses and supply costs due to inflation, decreased inpatient volume, reductions in reimbursements (particularly with Managed Medicaid),” Mr. Nagowski said.
Mr. Nagowski said the layoffs would not affect patient care or safety. Outplacement services are being offered to impacted employees, according to the report.
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