Becker's Hospital Review

22 CFO / FINANCE OhioHealth to eliminate 637 jobs, its biggest layoff ever By Nika Schoonover C olumbus-based OhioHealth is eliminating 637 jobs, its biggest layoff ever, according to e Columbus Dispatch. e move is part of a plan to engage external partners to provide some services the system currently provides in house. Over the next three to five months, the system will eliminate those jobs in information technology and revenue cycle management. Of those, 567 are in information technology. It informed workers of the cuts on July 7. "We are committed to providing a high-level of support to all associates affected by this change," Colin Yoder, director of media and public relations at OhioHealth, told Becker's in a statement. "is includes outplacement support, a job fair specifically for those displaced, temporary salary and benefits continuation aer their OhioHealth employment ends and upskill training for those in Information Technology." OhioHealth said the IT work will be handled by the professional services company Accenture, and AGS Health will handle the revenue cycle business. e layoffs, according to OhioHealth, are intended to improve patient care and services and position the healthcare system for a future where patients rely more on telemedicine and cellphones to obtain their healthcare. "is strategy will enable us to secure the skills, technology, expertise and innovation required to deliver a best-in-class, patient-centric, personalized healthcare experience without taking away from investments we are already making at the bedside," Mr. Yoder said. e IT workers will remain on payroll until Jan. 3 and will be given the opportunity for training that could make them eligible for other jobs at the company. e other workers will be laid off Nov. 4. n CHS posts $326M loss in Q2 By Ayla Ellison F ranklin, Tenn.-based Community Health Systems, which operates 83 hospitals, saw revenues decrease in the second quarter of this year and ended the period with a net loss. In financial documents released July 27, CHS said revenues and admissions were down in the three months ended June 30. Admissions declined 3.4 percent year over year and revenues were down 2.4 percent compared to the second quarter of 2021. "Our results in the second quarter were affected by challenging operating dynamics that included lower than anticipated volume, lower net revenue per adjusted admission, and significant contract labor costs driven by labor market and inflationary pressures," CHS CEO Tim Hingtgen said in an earnings release. "We have initiatives underway intended to actively address these pressures by accelerating strategic growth opportunities in key markets, aggressively working to recruit and retain permanent staff to replace contract labor, achieving incremental expense reductions, and leveraging our centralized resources to achieve improved results." After factoring in costs and one-time expenses, the for- profit hospital operator ended the second quarter with a net loss of $326 million on revenues of $2.93 billion. CHS reported net income of $6 million on revenues of $3 billion in the same period a year earlier. Looking at the first six months of this year, CHS reported a net loss of $327 million on revenues of $6.04 billion. In the first half of 2021, the company posted a net loss of $58 million on revenues of $6.02 billion. n University of Chicago Medicine breaks ground on $86M microhospital By Nathan Tucker R epresentatives from University of Chicago Medicine held a ceremonial groundbreaking on a new $86 million, 130,000-square-foot microhospital and outpatient center on Aug. 3 in Crown Point, Ind., according to a report from the Northwest Indiana Business Magazine. Planned services include an emergency department, short-stay inpatient unit, comprehensive cancer center, medical and surgical oncology, a laboratory, and an imaging center. Representatives from the University of Chicago Health System said that its Crown Point site will expand access to all of its services in Northwest Indiana, and preliminary estimates indicate that the microhospital could see 110,000 patients annually. University of Chicago Medicine said the Crown Point project is the first in Indiana and is expected to open in 2024 and employ about 150 staff members. n

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