Geisinger lays off 46 IT employees

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Danville, Pa.-based Geisinger Health System on June 2 laid off 46 IT employees, spokesperson Michael Ferlazzo told Becker's Hospital Review via email.

Cost control was a primary motivator for the job cuts, PennLive.com reports. However, Geisinger could not confirm how much the layoffs will save the company, Mr. Ferlazzo told PennLive.com.

"While demand for Geisinger care continues to grow and we work to meet that demand, reimbursement for care continues to shrink," according to a Geisinger news release sent to PennLive.com. "The healthcare industry is experiencing increased competition by both payers and providers; supply and employee costs continue to rise; and there is ongoing uncertainty about healthcare reform and what it might mean to us."

The layoffs follow Geisinger's decision to hire 2,000 employees in March, half of which filled clinical positions. Recruitment for these positions is ongoing and may take up to 15 months, Mr. Ferlazzo told Becker's Hospital Review.

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