Job cuts in healthcare are hardly rare these days, but St. Vincent Health’s newly announced layoffs in Indiana will certainly grab some eyeballs.
St. Vincent, a Roman Catholic provider and part of St. Louis-based Ascension Health Alliance, announced it would cut 865 jobs, according to the Indianapolis Business Journal.
The cuts represent a 5% reduction in labor costs for St. Vincent’s 13 hospitals and other facilities across 14 cities in Indiana, according to the Business Journal. Officials at St. Vincent, which employs 18,000 in Indiana, hinted at the cuts in May. Their reasoning for the mass firings rings familiar. They blamed costs associated with the Patient Protection and Affordable Care Act and decreased revenue due to Congress’ automatic budget cuts which went into effect on March 1.Here’s what Vince Caponi, St. Vincent’s outgoing CEO, said in a statement: “We know the lives of many people have been affected by our decisions, and we made it a priority to treat all employed and contracted associates with kindness and respect. As these decisions were difficult, we are confident that our ministry will be positioned to continue to lead in the areas of quality, safety and patient experience in service to our communities across the state. We are praying for all associates and their families.”
Chosen excerpts by Job Market Monitor