ProMedica lays off 100 employees to cut costs

Toledo, Ohio-based ProMedica  laid off about 100 employees this week, the majority of whom held positions in "leadership roles and corporate functions," according to The Blade.

ProMedica Chief Human Resources Officer Karen Strauss confirmed the layoffs to Becker's Hospital Review in a prepared statement Aug. 24, and said an additional 60 vacant "nondirect patient care positions" will not be filled.

"ProMedica has worked diligently to improve efficiencies and reduce costs across the organization, and we have made great progress. Unfortunately, like so many other health systems, it has not been enough given the current healthcare environment. And, while we recently partnered with HCR ManorCare and expect the partnership to bring opportunities for growth and synergy, we still must address pre-merger ProMedica financial issues now. As a result, and after a rigorous and thoughtful review, we have made the tough decision to reduce our workforce to address and respond to these external factors," she said.

Ms. Strauss told Becker's the system's human resources department is working with affected employees and will notify them of opportunities to return to ProMedica if a future position meets their needs.

A ProMedica spokesperson told the The Blade many of the jobs were located at the health system's corporate headquarters, which opened last August. The individual specified none of the eliminated positions were from Toledo-based HCR ManorCare, which ProMedica and Welltower, a real estate investment trust, acquired in July.

In a letter to employees obtained by ABC 13, ProMedica President and CEO Randy Oostra said the 13-hospital system's decision to reduce workforce stemmed from industry challenges such as declining reimbursements and operational costs.

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