The layoffs come after the health system suffered a $90 million loss in the first six months of 2022 and the cost of contracting agency labor rises, a Sparrow spokesperson told the newspaper. The health system is projected to spend $50 million on contracted labor — which it has increasingly enlisted as wages, salaries and benefits heightened — in fiscal 2022, the spokesperson said.
Some of the cuts will affect members of the Michigan Nurses Association, according to the newspaper.
“We are using the rights we have as a union to try to mitigate the potential consequences to patient safety as much as possible,” Kevin Glaza, vice president of the Michigan Nurses Association, said in the report.
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