Pennsylvania hospital delays paychecks due to backlog in collections

As of Jan. 3, Ellwood City (Pa.) Hospital’s employees had not received their paychecks due Dec. 21, according the Pittsburgh Post-Gazette.

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The hospital is owned and managed by Fort Lauderdale, Fla.-based Americore Health. In an email to employees Dec. 28, Americore CEO Grant White said the paycheck delay was due to a “significant backlog in accounts receivable collections that is being rectified,” according to the report.

Ellwood City Hospital was losing millions of dollars annually when Americore acquired it in 2017. The hospital has continued to face financial challenges, but Mr. White expects its financial picture to improve.

In the Dec. 28 letter to employees, Mr. White said he expected January would be “a very attractive cash collection month.” He also promised employees they would be paid for their work, according to the report.

On Jan. 4, the employees received cashier’s checks for the pay period ending Dec. 21, according to New Castle News. They’re expected to receive the paychecks due Jan. 4 by Jan. 8, according to the report. 

More articles on healthcare finance:

Minnesota hospital apologizes for billing mistake
Bankrupt hospital operator seeks to auction assets
AHA: Medicare underpaid hospitals by $53.9B in 2017

 

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