Community Howard Regional Health says it is undergoing staff reductions. The cuts involve the equivalent of 50 full-time positions. Chief Executive Officer James Alender says uncertainty about the Affordable Care Act, shrinking Medicare reimbursements and an increase in uninsured patients contributed to the decision. A spokeswoman with Howard's Indianapolis-based parent organization Community Health Network tells Inside INdiana Business there are no system-wide reductions planned.

News Release

Originally Posted September 12, 2013

KOKOMO, Ind. – Community Howard Regional Health has begun a reduction in its workforce. Fifty full time equivalents will be affected. The reduction is aligned with the lower patient volumes experienced by hospitals across the country over the past several years and especially during 2013.

Staffing levels will allow the hospital to continue to stay consistent with its mission to provide exceptional quality care while operating in a financially sound manner.

According to James P. Alender, president and CEO, reasons for the reduction of staff include concerns facing most hospitals across the country: the uncertainty of healthcare reform, decreased patient volumes, reductions in Medicare and private insurance reimbursement, and an increase in the number of under and uninsured patients all hospitals are seeing.

“This was an extremely difficult business decision but one that had to be made for the long-term future of healthcare in our community,” Alender said. “It will not impact the quality of patient care we provide at any of our facilities.”

Community Howard Regional Health is offering affected employees separation compensation and other assistance.

Source: Community Howard Regional Health, Community Health Network

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