West Reading, Pa.-based Tower Health will close the post-acute rehab center at its Phoenixville (Pa.) Hospital, which will affect 55 employees.
Nearly all of the employees were offered new positions, and around 50% have accepted new roles at the hospital. The restructuring is part of Tower Health’s larger plan to lay off around 350 employees, or around 3% of its more than 10,000 staff, a spokesperson for the system confirmed with Becker’s.
“In the face of the major headwinds confronting every health system nationwide, we have taken important steps to transform our operations and build a more nimble and resilient organization,” the spokesperson said in a Dec. 12 statement shared with Becker’s. “These difficult decisions were not made lightly. They were made out of necessity to ensure that we can chart our own pathway forward and continue serving our communities.”
Tower Health plans to reinvest savings into future endeavors, including accelerating AI and technology adoption, expanding its provider network and enhancing patient experience. The system said it will also aim to strengthen the Tower experience through its three-year strategic plan through fostering development and growth, holistically empowering employees and creating a solid environment for team members.
