Little Rock, Ark.-based Baptist Health is planning additional service and job cuts at its Fort Smith campus.
Here are six things to know:
1. Baptist Health will restructure the campus and discontinue several inpatient services and clinics amid ongoing financial losses. The decision follows a March announcement from the system that it would discontinue labor and delivery and obstetrics services at the campus, affecting 40 employees.
2. The system has sustained cumulative losses of $127 million from 2018 through March 2026, with the deficit projected to grow due to declining reimbursements and continued cost pressures, according to an April 29 statement from Baptist Health President and CEO Troy Wells shared with Becker’s.
3. Over the next 60 days, Baptist Health will phase out inpatient nephrology, pulmonary, oncology and infectious disease services, along with multiple specialty clinics in the Western region. They include Baptist Health Cardiology, Baptist Health Pediatric, Baptist Health Neurology, Baptist Health Infectious Disease, Baptist Health Renal and Baptist Health Oncology.
4. The transition will reduce the workforce by approximately 150 employees, including 10 physicians. The system is working with affected employees to offer 60 days of paid severance, career transition support and opportunities for reassignment within the system.
5. The restructuring also includes a leadership change: Western Region President Jeff Carrier will depart and Brandi Stewart will step in as interim president and chief nursing officer for the Western region.
6. The campus will continue operating its emergency department, operating rooms and medical-surgical nursing, geriatric psychiatry and radiology services.
“We want to reiterate that the hospital is not closing,” Mr. Wells said in the statement. “By stabilizing our foundation now, we stop the cycle of unsustainable losses and create a platform from which we can eventually grow and even add services back. To ensure we remain a permanent part of the River Valley, we must become smaller and stronger, prioritizing the efficient use of our existing assets and resources rather than incurring significant new levels of debt.”
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