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Title: Jewish Hospital parent to cut 500 jobs (Blood....)
Source: [None]
URL Source: [None]
Published: Mar 10, 2010
Author: Brent Adams
Post Date: 2010-03-10 16:19:13 by Nebuchadnezzar
Keywords: None
Views: 189

Jewish Hospital parent to cut 500 jobs Business First of Louisville - by Brent Adams Staff Writer

Enter words from the security image above:

Jewish Hospital & St. Mary’s Healthcare Inc. is cutting 500 positions, including layoffs of about 250, workers as part of an ongoing cost-cutting initiative.

The cuts will occur through the end of March, according to Jeff Polson, vice president of marketing and external relations.

The layoffs will involve some middle- and senior-level management positions, as well as some back-office functions. Each of the JHSMH facilities will see some positions cut, said Janice James, the company’s interim president and CEO.

About half of the cuts will come through attrition and the elimination of open positions, James said.

JHSMH operates 71 facilities and more than 1,900 patient beds in Kentucky and Southern Indiana.

Few of the positions will come from the ranks of hands-on-care providers, and schedules of the remaining employees will be adjusted to compensate for the staff reductions, James said.

Employees were told about the layoffs Wednesday morning, she said.

“We have a very strong organization, but we have to make this very difficult decision to preserve our financial integrity,” James said.

She added that the decision to eliminate positions comes as the company struggles with the effects of the economic downturn, declining patient volume, patients putting off elective procedures and the impact of treating uninsured patients.

She said JHSMH provided about $68 million in uncompensated care in 2009, compared with about $52 million in 2008. Looking to the future

The former Jewish Hospital & Health Care Services Inc. and Caritas Health Services Inc. merged in 2005 to create JHSMH. At that time, the companies had combined employment of about 7,600. Today, JHSMH has about 8,300 workers, according to Business First’s list of largest private-sector employers, which was published Aug. 7.

James said she and other JHSMH officials will reassess staffing levels in the coming months as they continue to search for cost efficiencies.

She said officials also will seek to combine services and reduce infrastructure and overhead throughout the system wherever possible.

The company also is in the process of outsourcing its food-service and housekeeping functions, which will affect another 500 employees, James said.

Most of those employees will retain jobs but will work for a contractor rather than the hospital, James said.

“We believe these actions are the responsible thing to do,” James said. “We’re trying to position the organization for the reality of the situation.”

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