Home Rehabilitation Services of Michigan LLC has announced it is shutting down operations in Commerce Township and permanently laying off 113 employees. In a notice filed with the Michigan Workforce Development Agency, Home Rehabilitation said the layoffs will take place on December 30, 2017. The one exception is the payroll coordinator, who will be laid off on January 9, 2018.
Home Rehabilitation Services provides nursing, rehabilitation, health education, and home healthcare services. According to the company, the layoffs are a direct result of its termination of the therapy services agreement with Beaumont Home Care, a hospital-based home care department under Southfield-based Beaumont Health. Those employees being terminated are not represented by a union and do not have bumping rights.
As part of the termination, employees are being encouraged to apply to transition to clinical, support, and administrative jobs with Beaumont Health Care.
The termination comes following Beaumont’s merger with Oakwood Healthcare and Botsford Hospital in 2014.
“Earlier this year, as part of our integration as Beaumont Health, we consolidated Oakwood Home Care with Beaumont Home Care and decided to move to an all-employed model of home care, including for in-home therapy services,” a Beaumont Health spokesperson said in an e-mail. “We have been working with HRSM for months on a plan for transitioning to an employed model. All HRSM employees — clinical, support and administrative — are being offered the opportunity to transition to Beaumont employment. We expect to complete this transition by year end. There will be no interruptions to patient care or home care operations.”
Home Rehabilitation worked with Beaumont on physical, occupational, and speech therapy. The two companies started working together about 20 years ago.
“Home Rehabilitation Services of Michigan LLC,” Michigan Workforce Development Agency, last accessed October 17, 2017.
“Rehab services provider to close, lay off 113 as contract with Beaumont terminated,” Crain’s Detroit Business, October 16, 2017.
“Beaumont contract termination prompts rehab provider to lay off 113 employees,” Becker’s Hospital Review, October 17, 2017.
“$3.8B Beaumont, Botsford, Oakwood merger a done deal following hospital boards’ approval,” Crain’s Detroit Business, June 23, 2014.