Burlington-based The University of Vermont Health Network has eliminated 146 vacant and full-time roles and paused performance-based pay for leaders for the fiscal year ending in September.
Of the 146 roles, only 77 were filled, which resulted in 68 staff- and nine leader-level layoffs on July 29. Most of the impacted staff are part of UVM Health’s shared services team, which includes finance, registration, communications, IT and human resources-related roles, according to a news release shared with Becker’s.
The health system said the positions were identified through a collaborative process that involved healthcare leaders and partners across administrative, clinical and operational areas, with a focus on cutting costs while minimizing direct patient care effects. Affected staff are being offered support, including the opportunity to pursue other open roles at UVM Health.
The news comes after UVM Health shared plans to cut several services and up to 200 jobs in November due to budget cuts issued by the Green Mountain Care Board. In January 2024, the health system also cut 130 open positions in an effort to reduce costs.
“Today’s actions are an important step toward our affordability goals, but we have more work to do,” Sunny Eappen, MD, president and CEO of UVM Health Network, said in the July 29 release. “To get there, we’re taking a hard look now and in the future at the costs we can control and focus on being more efficient to reduce the cost burden on patients, while continuing to support our dedicated workforce.”
The release also touched on the recently passed One Big Beautiful Bill Act, which comprises nearly $1 trillion cuts in Medicaid. and could leave around 45,000 people in Vermont and 1.5 million people in New York state without healthcare coverage over the next 10 years. While the legislation’s funding cuts may not be known or felt for some time, UVM Health said the new law “will negatively impact people’s health and put pressure on an already struggling healthcare delivery system nationwide.”.
“[Today’s] actions are still at the beginning of the system’s efforts to reduce costs,” the release added. “The organization will need to take further actions to be more effective and efficient in the future. The health system is actively working with a team made up of representatives from the organization, the Green Mountain Care Board and an independent liaison to identify additional areas for improvement and value.”
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