Providence Hospitals cuts 35 jobs in cost-saving efforts
Providence Hospital will lay off 35 employees and reduce operating expenses by $7.9 million to deal with looming changes in healthcare, the hospital said Thursday.
The workforce reductions and cost adjustments will take effect immediately, hospital officials said, and become part of an ongoing review process aimed at streamlining operations and reducing costs.
"Our nation's health care system is at a tipping point," said Providence Hospitals CEO George Zara, in statement released today.
"It is clear that the existing structure and fundamentals of the nation's health care system are not sustainable."
Providence anticipates a $10 million reduction in hospital revenue over the next year, Zara said, leaving the hospital little choice but to take proactive steps.
The personnel reductions will affect nearly every department of the hospital, the release stated, including some members of Providence Hospital's senior leadership.
- 04-14-2011 12:00 (EDT)