Tower Health furloughs 1,000 workers amid dramatic revenue drop

Under financial pressure from the COVID-19 pandemic, Philadelphia-based Tower Health has furloughed at least 1,000 employees, according to The Philadelphia Inquirer

Tower Health implemented the furloughs, which affect roughly 7 percent of the system's 14,000-person workforce, after suspending elective procedures and shutting down many of its outpatient clinics. The seven-hospital system said it has lost as much as half its revenue, according to the report. 

Tower Health received more than $23 million in grants made available under the Coronavirus Aid, Relief and Economic Security Act, but it's still facing financial pressure. 

"These funds, while helpful, do not come close to making up for the decline in revenue Tower Health has experienced in March and into April," a spokesperson told The Philadelphia Inquirer

Tower Health joins more than 150 other hospitals and health systems across the U.S. that have furloughed workers in recent months. 

More articles on healthcare finance:
Banner Health cuts exec pay, plans to furlough up to 7% of employees
COVID-19 financial damage forces West Virginia hospital to close
HCA records 44% drop in profit, pulls 2020 guidance

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