More Layoffs As Lifespan Tries to Trim $150M
The state’s largest hospital network is making another attempt to trim nearly $150 million in expenses over the next two and a half years. Lifespan has announced another round of layoffs.
In a statement to Rhode Island Public Radio, Lifespan says it has cut 122 jobs. A majority of those are vacant positions they’re not filling. The rest involve laying off dozens of management and staff, and a number of physicians and Ph.D.s who are leaving Lifespan through retirement, job elimination, or the consolidation of the positions. That’s down from a total workforce of 11,500. What’s more, Lifespan says it will offer a voluntary early retirement program to employees who qualify. And it hasn’t ruled out additional job cuts.
The organization says its bottom line has been affected by a drop in Medicare and Medicaid funding. It’s also been hit by the federal budget cuts known as sequestration. Plus, Lifespan hospitals provide a good deal of charity care to the uninsured, which puts an additional strain on finances.
Lifespan began this restructuring effort last fall, eliminating several senior management positions.
Editor's note: We've updated the number of job cuts since this story was recorded to reflect new information from a Lifespan spokesperson.