St. Mary's of Michigan announced Tuesday that because of a "challenging environment that calls for low-cost, high-quality care," the hospital is laying off 24 employees and scaling back the hours of a further 46 employees.
The healthcare provider cited reimbursement shrinkages and that all hospitals would need to adapt to the new "reality."
"While we are busy and providing volumes of care comparable to last year, the type of patients we are seeing is changing," said John Graham, President and CEO of St. Mary's of Michigan. "We are not caring for as many highly-complicated, surgical patients. We are seeing a mix of medical patients, which means patients with chronic medical conditions are receiving treatment in other ways that does not include being hospitalized, like outpatient treatment, which costs less than inpatient care. In addition, primary care physicians are helping patients better manage their health conditions."
St. Mary's said approximately 70 associates are directly impacted with changes occurring to their work schedules, including the elimination of 24 positions. Additionally, the hospital said outpatient services hours of operations are being modified and some services are being consolidated at a few locations.
"While we continually look at ways to reduce the costs from the health system, it is with heavy hearts that we must implement a work-force adjustment for some of our associates," said Graham.
Stay with WNEM.com and TV5 as we learn more about this staffing reduction at St. Mary's.
Copyright 2012 WNEM (Meredith Corporation). All rights reserved.
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