AM I NEXT? NO LOVE AT SUTTER HEALTH (07/18/22)

Am I Next? Sutter Health restructuring and cost reductions.

JULY 18, 2022 — 1,150 SUTTER EMPLOYEES TO BE RE-BADGED AS R1 EMPLOYEES

Salt Lake City, Utah-based R1. a revenue cycle management company, has announced a “partnership” with Sutter Health in a cost-savings initiative projected to save $400 million over a ten-year period.

As part of the agreement, about 1,150 Sutter revenue cycle employees in non-clinical roles will be offered positions with comparable pay and benefits with R1.

According to a company spokesperson, “The R1 partnership helps strengthen Sutter’s long-term financial health and our ability to continually reinvest in our patients, communities, and integrated network. We have been part of the fabric of Northern California for a century and remain committed to delivering on our mission to provide high-quality care to our patients and communities for years to come.”

JUNE 5, 2021 — ANOTHER 400 LAYOFFS ACROSS THE NETWORK

The company has announced that it plans to lay off another 400 employees across its network, mostly in administrative positions in areas including benefits, human resources, data services, and accounting.

According to a company spokesperson, “Moving forward, we will continue to work to minimize staff reductions and their impact on our dedicated employees as we look for ways to eliminate variation, streamline resources and more efficiently manage our indirect costs.”

FEBRUARY 12, 2021 — 277 LAYOFFS, MOSTLY IT WORKERS IN MATHER, CALIFORNIA

The company has announced 277 layoffs, including 92 analysts, 43 engineers, and 28 project managers, commencing April 2, 2021. The majority of the layoffs are located at Sutter Health’s IT hub in Mather, California.

According to a company spokesperson, “In response to the pandemic, we have dramatically adjusted our operations and made the right investments to protect our patients, staff, and clinicians. However, these additional expenses, combined with the ongoing unpredictability in our patient volumes, have further and significantly impacted our financial situation and already declining operating margins. ”All these efforts are aimed at prioritizing direct patient care while mitigating the financial impacts of the pandemic, so we can continue to serve our communities for years to come.

FEBRUARY 5, 2021 — Original post…

Sacramento, California-based Sutter Health, an integrated health delivery system that operates 24 acute care hospitals and over 200 clinics in Northern California, has announced additional restructuring and cost-cutting efforts in 2021. The initial plan is to layoff 200 non-clinical employees with more layoffs possible in the future.

According to a spokesperson, “Our work will continue into 2021 as we look at ways to eliminate variation, align resources, and become much more efficient with our indirect costs so we can best serve our patients and communities. This includes department restructures, as well as closing some programs or reducing certain services, particularly where patient demand has been declining.”

Like most medical companies, Sutter has been severely affected by the global pandemic, reduced patient volumes, and reduced insurance reimbursements.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT BAYLOR SCOTT & WHITE (03/16/21)

Am I Next?  Baylor Scott & White outsources finance employees to India.

MARCH 16, 2021 — 145 LAYOFFS IN ROUND ROCK AND AUSTIN, TEXAS

The company has announced 145 layoffs, 83 employees in Round Rock, Texas, and 62 employees in Austin, Texas at SHA, LLC.

According to a company spokesperson, "To make an even greater investment in frontline care, Baylor Scott & White is announcing a change in how it operates certain non-patient corporate services.”

JANUARY 28, 2021 — 1,700 EMPLOYEES TARGETED FOR OUTSOURCING OR LAYOFF

Baylor Scott & White Health has announced a major outsourcing effort as part of its continuing reorganization and cost-cutting program. 1,700 employees will be impacted.

According to a company statement, “To make an even greater investment in frontline care, we are sharing a plan to begin contracting a portion of services currently performed by five departments. These back-office functions, while important to our operations, can often be provided at a lower cost if we partner with best-in-class providers.”

“Nearly two-thirds of the involved employees will transition to work for the new service providers, doing a similar job they do today, but for a new company.”

Affected workers will be transferred to partner companies that specialize in information technology, billing and revenue management, and other support services. About 600 to 650 positions will be eliminated.

DECEMBER 21, 2020 — Original Post

Dallas, Texas-based Baylor Scott & White Health, a regional healthcare provider, has announced that it will outsource certain financial operations to India. The decision to outsource domestic positions to a third-party vendor in India will impact 102 financial workers.

This is in addition to the 1,200 employees laid off in June 2020 along with salary cuts in managerial and executive positions.

The restructuring decision to reduce operating costs, improve efficiencies, and redeploy assets into crucial programs was driven by significantly declining patient volumes and insurance reimbursement rates.

According to Baylor President Peter McCanna, We’ve got to find ways to become more efficient. Can we find efficiencies in things like administrative services and make that work for us?”

"Cutting costs in non-core areas, such as financial reporting and accounting, will help pay for future growth. It’s fairly common for large companies to outsource part of that work. Expect us to continue to redesign what we do to transform this organization, but that doesn’t mean we’re going to have fewer people. We actually expect to be larger and have more people working for Baylor Scott & White, providing care to more patients.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT BLUE CROSS BLUE SHIELD OF MICHIGAN

Am I Next? Blue Cross Blue Shield offering voluntary buyouts.

Detroit, Michigan-based Blue Cross Blue Shield of Michigan, a healthcare insurer and operating as an independent licensee of Blue Cross Blue Shield Association, has announced that prior to engaging in involuntary layoffs, it is offering buyouts to approximately 8,500 non-union employees in the company and its many of its subsidiaries. After consultations with the unions, the offer may be extended to 2,600 union employees.

The decision is driven by the need to reduce operational costs in a time of declining patient loads and lower reimbursement payments.

According to a company spokesperson, "There are significant financial headwinds on the horizon and our health insurance business remains challenged by administrative costs. We are at a point where we've decided to slow our hiring activity."

Daniel J. Loepp, president and chief executive officer of Blue Cross Blue Shield of Michigan, noted, "Nobody could have predicted the great disruption to our lives that the coronavirus pandemic brought over these past months. Many of us have lost family, friends and neighbors to COVID-19. Each of our lives — at home and at work — has been fundamentally changed by the events of this year. Some of you have expressed to me, personally, an interest in reordering your work-life balance or doing something new.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?