KALAMAZOO, Mich.- One of Kalamazoo’s largest healthcare providers could be laying off employees according to a company spokesman.
Borgess Health says communication is occurring with their more than 4,000 associates right now regarding the layoffs. The hospital says the layoffs will not eliminate services or change their commitment to care for southwest Michigan.
The hospital cites a few reasons for the possible layoffs including Medicaid payments relating to the Affordable Care Act releasing this statement,
“The impact of Medicaid payment reductions related to the implementation of the Affordable Care Act (ACA) necessitates Borgess to reduce our total associate workforce. The existing regulator Medicare reductions that span a 10-year period (2012 – 2022) are significant and exceed $140M over the 10-year implementation of the ACA. Since 2012, the reductions are about $10 million a year and increase over time.”
At this time, Borgess is not releasing specific numbers by category or department. The Michigan Nurses Association did not return our call for comment.
