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Boston Hospital Losing $175M, To Fire 119

From the ‘White Coat Notes’ blog of the Boston Globe:

Boston Medical Center projected to lose $175 million

by Kay Lazar September 13, 2010

Boston Medical Center said this afternoon that it expects to lose $175 million this year due to "dramatic changes" in the way it is reimbursed for taking care of Medicaid patients.

Meanwhile, Obama-care is slated to expand Medicaid tremendously.

The hospital said the losses are prompting it to reduce its workforce by 119 people, effective Oct. 1.

Here is the announcement:

Boston Medical Center announced today that it has made a reduction in force of 119 people, including 44 nurses and 30 management staff. Another 40 employees will see their hours reduced. The hospital has a total work force of almost 6,000 people, more than 1,500 of whom are nurses.

“The hospital is projected to lose $175 million this year due to dramatic changes in Medicaid reimbursements,” said Tom Traylor, BMC’s vice president of federal, state and local programs…

Mind you, this is happening in Massachusetts, which was and is the model for Mr. Obama’s ‘healthcare reform.’

The union that represents many of the workers, 1199SEIU United Healthcare Workers East, said the cuts will have an impact on a wide swath of services including nursing, patient access coordinators, dieticians and clinical engineers.

Perhaps it is insensitive to laugh at anyone losing their jobs, but — ‘ha ha.’ After all, isn’t this exactly what the SEIU has fought so long and hard for?

Veronica Turner, Executive Vice President of 1199SEIU and a former Boston Medical Center employee, said

"In order to save the hospital, the state must present a solution to the funding crisis and BMC management must include its staff in forming a real plan for the hospitals future.

Ultimately, the services provided to the regions poorest residents through BMC are a key part of maintaining a cost-effective and comprehensive healthcare safety net. It’s time for everyone, including elected officials, to come together and figure out a plan. The hospital can’t simply cut its way out of the current funding inequities.”

In other words, the SEIU is demanding a ‘bailout.’

What a surprise, huh?

This article was posted by Steve on Tuesday, September 14th, 2010. Comments are currently closed.

12 Responses to “Boston Hospital Losing $175M, To Fire 119”

  1. AcornsRNutz says:

    That is also the same SEUI who were pushing for mandatory staffing requirements for nurses after teh first few years of romneycare pretty much halfed the nursing industry in this state. Shame for the nurses, but just desserts for the shameless SEUI union huxsters. That of course is to say nothing of impact on the actual medical care that we the unwashed masses will actually recieve, but who cares about that?

  2. Right of the People says:

    Someone should fill the SEIU in on the theory of unintended consequences.

    • untrainable says:

      Except that I don’t believe these particular consequences are unintended. SEIU is fighting the long fight for single payer healthcare. They think that once we have single payer, everything will just work because they’ll have all the money they need. The unions will finally be a part of the government and they can write their own check. Once we see that Obie-care in it’s current form won’t work, they think we’ll embrace single payer as the only option.

      Reality has no place in the mindset of these people. They simply don’t understand how an economy functions outside of their own little utopian ideal.

  3. Georgfelis says:

    Somehow I doubt they will save 1+ million dollars per person fired.

    Besides, the purpose of having employees is so you can tend to more patients. That is, unless you are being paid *less* for each patient than it costs you to tend to them, then the revenue for each additional patient is a negative number.

    Look for a dramatic decrease in Medicare/Medicaid patients in this hospital in the immediate future.

    • AcornsRNutz says:

      I don’t think these firings will make a difference either. These are not the kind of jobs where we can expect to see 7 figure incomes. Only in the public sector do you see middle managment lackeys making 7 figures. No, it will be the hard working schlubs of the indistry who pay for the fact that the MA state government, THe SEIU and the Fed have bankrupted their employer. And if the hospital isn’t careful, they may wind up in Sebilius’ little black book of “bad actors” along with the insurance companies who have had the gall to blame obamacare for the increases in costs that are coming down the pike.

  4. oldpuppydixie says:

    WAIT a minute….I thought the republican elites’ 2nd favorite RINO had FIXED everything in Mass with the highly touted, infallible RomneyCare!!!

  5. Rusty Shackleford says:

    “We had to kill the patient in order to save him”

  6. Right of the People says:

    Although I feel bad for anyone losing their job in this suck economy, if these nurses are willing to relocate there are a ton of nursing jobs out there. I know down at Fletcher Allen in Burlington (VT) they have openings and back in Cleveland where I’m originally from the hospitals there are hiring. My cousin is a nurse and she is constantly getting emails from recruiters. I guess it comes down to how bad you need a job. I’ve moved more than once to stay employed in my chosen field and I’d move again if I had to.

  7. Victoria says:

    The exact same thing is happening in my hometown of Minneapolis. The Children’s Hospital – largely run by medicare/medicaid reimbursements – is going under fast. New hires have ceased and they’re having to layoff some nurses. The Union is all up in arms, but I don’t understand what other decision they possible have…there simply is no money when you’re paying out 100% but only getting reimbursed at 75%.

    • proreason says:

      Sounds like the Children’s Hospital is more interested in exorbitant profits than being kind to Obamy voters.

      Profiteers like them need a boot or two to the neck, and some guidance from the Salary Czar.

      Or maybe there are some bond holders who would like to volunteer to do their patriotic duty and hand their investments over to the unions before they are exposed as children’s health speculators by the Commander in Chief.

  8. jimreport says:

    Madam Botox said there was going to be an immediate 100,000 health care jobs once they passed their bill and let us read how good it is.

    With this story, and one from the other day about counties shuttering community hospitals in anticipation of the goodness I’m thinking congress better investigate these unamerican happenings and punish these blasphemers trying to undermine Dear Leader.

    Of course, she could have meant those 100,000 would be from hiring people to winterize the pipes in the abandoned county hospitals.

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