Montana health system lays off less than 1% of employees amid realignment

Kalispell (Mont.) Regional Healthcare laid off less than 1 percent of its more than 4,000-person workforce as it realigns to adapt to the changing healthcare environment.

KRH officials did not specify the number of layoffs, but told Becker's Hospital Review the realignment affected "positions ranging from leadership to hourly staff." No direct patient care positions were affected.

The layoffs come as KRH faces less state funding and industry trends such as reimbursement changes and the move to value-based care. System officials said KRH most recently saw a $6.6 million reduction in Medicaid funding this year, and more cuts could be in store if Montana's Medicaid expansion program sunsets as expected next year. 

"Improvements in the efficiency of our operations and focusing on our mission are critical to help us prepare for and respond to an evolving healthcare landscape," they said. "We are aligning KRH to enhance our efforts to serve our patients and families. This requires us to continually evaluate the positions, skills and experience needed to fulfill our mission."

The system noted it is working to support affected employees and help them find and apply for job opportunities within KRH when possible.


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