Lahey Health to cut roughly 75 jobs to shore up finances

Burlington, Mass.-based Lahey Health will lay off roughly 75 people to help close a budget gap, according to The Boston Globe.

The permanent layoffs, which will occur later this fall, will eliminate mostly administrative and management positions.

"It is the best way for us to rebalance our system, positioning ourselves to grow in response to the changing needs of our community and the external health care environment," Lahey Health's CEO, Howard Grant, MD, wrote in a memo to staff. "This reduction will not impact our ability to care for our patients or our commitment to quality and safety."

The cuts come as Lahey Health plans to merge with Boston-based Beth Israel Deaconess Medical Center.

Lahey Health spokesman Chris Murphy told The Boston Globe the planned layoffs "[have] nothing to do with the planned affiliation" and that the cuts were driven by a need to "constantly look for opportunities to be more efficient."

Mr. Murphy added that the system expects to record an operating loss for fiscal year 2017. In the most recent figures available, Lahey lost $37.3 million on operations in a six-month period that ended March 31, according to the report.

More articles on leadership and management:
Van Gorder offers sympathy to victims of Las Vegas shooting, help to local providers
Nearly 70% of hospitals are in health systems: 5 things to know
Memorial Hermann The Woodlands Hospital gets name change

© Copyright ASC COMMUNICATIONS 2017. Interested in LINKING to or REPRINTING this content? View our policies by clicking here.

 

Top 40 Articles from the Past 6 Months