St. Francis Hospital Laying Off Dozens of Employees
St. Francis Hospital, which is in Columbus, Georgia, has announced that it is laying off 55 employees as part of a restructuring plan. The hospital currently has a workforce of almost 2,500 employees.
The CEO of the hospital, David Koontz, has confirmed that the hospital is also reducing the work hours of an undisclosed number of employees, in addition to the layoffs.
The workers being laid off were primarily performing non-bedside care job roles. Koontz elaborated, “When I say bedside care, I am talking about people who are directly touching the patients in the nursing units.”
The layoffs were announced less than two years after St. Francis was sold to LifePoint Health Inc. St. Francis was a non-profit hospital up until its acquisition by the publicly traded healthcare services company. After LifePoint bought St. Francis Hospital in December 2015, St. Francis became a for-profit organization.
Since then, St. Francis has been struggling to turn its losses into profits.
St. Francis Hospital’s Financial Struggle Continues from 2014
The hospital is reported to have been losing money since at least 2014 when an accounting inaccuracy was discovered in its financials.
It was found that the hospital’s former management was misreporting in its financial statements. After the news broke, the hospital laid off the then-CFO. The former CEO also stepped down, making way for Koontz.
Koontz says that this is the first time the hospital is laying off employees since the 2014 accounting scandal. The CEO added, “This is part of the ongoing recovery that LifePoint has been helping St. Francis with since the acquisition. We have been changing the supply chain, the processes, renewing contracts and we have been improving our revenue cycle.”
St. Francis first opened its doors 65 years ago with the help of the local community’s fundraising effort. It started off as a 154-bed hospital and has grown since then. According to Koontz, an average of more than 300 patients is served in beds every day.
According to LifePoint Health’s official web site, St. Francis is the only hospital in the area that offers open heart surgery. The hospital also offers a full range of services at its inpatient and outpatient departments and emergency rooms.
“St. Francis Hospital confirms restructuring will eliminate more jobs,” Ledger-Enquirer, July 11, 2017.