Erlanger management layoffs 'will not be in vain,' new CEO says

Erlanger Health System's decision to lay off managers will ultimately benefit system operations, its new CEO told its board of directors, according to the Chattanooga Times Free Press.

Erlanger confirmed that it eliminated or restructured 30 management positions Oct. 21 as part of a management reorganization.

Erlanger President and CEO William L. Jackson, MD, addressed the Chattanooga, Tenn.-based health system's decision at an Oct. 24 board meeting.

Dr. Jackson said it has been a difficult week for the health system, but the management reorganization "is not going to be in vain," according to the Free Press.

"We're going to use this to become streamlined and lean, and we're going to make the organization better over time," he added.

Erlanger has not disclosed the number of management positions eliminated versus restructured, and neither did Dr. Jackson during the board meeting, according to the Free Press.

Erlanger spokesperson Pat Charles told the newspaper the management reorganization did not affect clinical staff, including physicians and nurses.

The changes come after Erlanger board members reached an agreement with Kevin Spiegel, the health system's former CEO, and named Dr. Jackson his successor in September.

The board directed Dr. Jackson to address physician relations, reorganize Erlanger's management structure and reorganize the governance structure of the health system's medical group, according to a separate Free Press report. Erlanger employed about 280 managers before the management reorganization, the newspaper said. 


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