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In a case for payment reform, a new study in the Journal of the American Medical Association found that postsurgical complications, though bad for patients, often build up the bottom lines of hospitals and health systems.

Reading (Pa.) Health System laid off 210 employees yesterday and is eliminating another 181 jobs through attrition, according to a Reading Eagle report.

Patients who incur surgical complications at hospitals have to stay at facilities longer, and this leads to much higher profits at those hospitals, according to a study in the Journal of the American Medical Association.

Gastonia, N.C.-based CaroMont Health fired its President and CEO Randall Kelley yesterday, and the former executive could be reaping a severance package of almost $1.2 million, according to a Gaston Gazette report.

Detroit Medical Center will lay off 300 employees due to Medicare cuts from sequestration, according to a Detroit Free Press report.

Historically, a cardinal rule guiding decision making in hospitals was that administrators made decisions on administrative matters, but decisions impacting physicians and their practice of medicine could only be made by other physicians. However, as organizations respond to current cost…

Hospitals and health systems need metrics to determine their progress in moving toward a pay-for-performance model, according to a report by the American Hospital Association's Health Research & Educational Trust and Hospitals in Pursuit of Excellence.

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