AM I NEXT? NO LOVE AT CEREBRAL (03/01/23)

MARCH 1, 2023 — 15% OF THE WORKFORCE TARGETED

Cerebral has announced plans to cut 15% of its workforce, an estimated 285 employees in a third round of layoffs in less than a year as it struggles to contain costs.

A spokesperson noted that the layoff decision is the culmination of Cerebral's efforts to reorganize the company to "refocus on the most important service offerings for our patients."

OCTOBER 31, 2022 — Original post…

San Francisco, California-based Cerebral, a telemedicine company specializing in providing remote mental health services, has announced an operational restructuring with a major 20% reduction in force as a response to reduced patient demand and lower growth estimates.

The layoffs will impact approximately 400 employees

According to Cerebral CEO Dr. David Mou,"Changes would be spread across all divisions, including headquarters, clinical-care teams, and support staff. These are challenging times for many companies. In order to continue to work towards our mission, we have a duty to our patients to ensure our business is healthy and sustainable throughout challenging economic times.”

The company, which advertises on social media platforms, has been under investigation by the Drug Enforcement Administration and the Department of Justice over its prescribing of controlled substances like Adderall and Xanax. "Cerebral offers therapy and counseling for conditions like anxiety, insomnia, and ADHD. Unlike some other online mental health services, it also offers prescriptions for controlled substances used to treat some of those conditions."

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. We see good people being laid off through no fault of their own. 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 UNIVERSITY HOSPITALS

Cleveland, Ohio-based University Hospitals, an academic medical center and community hospital network operating in Northeast Ohio, has announced a major reduction in force.

The headcount reduction will impact 117 administrative employees and eliminate 326 unfilled positions.

According to a hospital statement, "University Hospitals, as well as a large number of other hospitals in the region and across the nation, is facing an economic downturn that began with a resurgence of COVID-19 cases earlier this year and has been compounded by several other factors, such as supply chain issues, record-high inflation, and an unprecedented workforce shortage. These have made 2022 one of the most financially difficult years for health systems in the U.S."

"Adding to these challenges are shifting demographics in Northeast Ohio, resulting in a higher percentage of patients on Medicare and Medicaid, federal insurance programs which have not kept pace with the rising costs of care. Although these actions are difficult, they will make UH stronger now and for decades to come in our continuing service to the community."

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. We see good people being laid off through no fault of their own. 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 SPARROW HEALTH SYSTEM

Lansing, Michigan-based Sparrow Health System, a comprehensive, integrated health care organization, has announced a mass layoff event.

The reduction in force will impact several hundred employees across the healthcare enterprise.

According to a company spokesperson, "Most job cuts would impact several hundred roles. Most reductions will target leadership and non-patient care roles. Some clinical jobs will be affected, but in places with low patient volumes."

"The health system had a net loss of $90 million in the first six months of this year as supplies, salaries, wages, and benefits rose, but patient volumes declined and "cost of contracting agency labor has skyrocketed."

"Salaries, wages, and benefits have increased 35% compared to 2019 due to the nationwide labor shortages that have created staffing challenges. These shortages have resulted in the increased use of agency nurses to meet the needs of our patients. Our cost of contracted labor in the fiscal year 2022 is projected to be $50 million."

"Sparrow will adapt to this changing world and will do so quickly. We will fundamentally change how we operate our business and how we are structured so that we are positioned to serve our community for another 126 years."

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. We see good people being laid off through no fault of their own. 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?