UPDATE: Saint Joseph Regional Medical Center announces cuts

By John Paul (jpaul@wsbt.com)

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Saint Joseph Regional Medical Center announced a series of reductions to executive and staff pay and hours

Saint Joseph Regional Medical Center announced a series of reductions to executive and staff pay and hours. (WSBT photo)

By Beth Boehne

SOUTH BEND — For the second time in eight days, cuts are coming to another area hospital. Saint Joseph Regional Medical Center announced a series of reductions to executive and staff pay and hours.

As construction workers in and around Saint Joseph Regional Medical Center put the finishing touches on the new Mishawaka medical campus scheduled to open in Fall 2009, hospital officials in South Bend are dealing with cuts.

Saint Joseph Regional Medical Center released a statement Friday afternoon:

"Like many hospitals across the country, Saint Joseph Regional Medical Center has felt the impact of the economic downturn with an increasing number of uninsured patients, and payments from Medicare and Medicaid not keeping pace with expenses."

April 23, a hospital spokesperson told WSBT News on average Medicaid cases, their costs exceed the reimbursement amount by 30 percent.

And it's a growing problem.

Saint Joseph Regional Medical Center said managed care for the the number of people insured dropped 7.2 percent from 2008 to 2009 and the number of claims from unemployed workers using Medicaid jumped 18.2 percent in that same period.

Hospitals in the region are facing similar issues.

Last week hospital executives from Elkhart General Hospital announced similar reductions.

"Without exaggerating the point, I've never seen health care face a situation like we are experiencing today," said Greg Lintjer with Elkhart General. "I don't like to use the word unprecedented, but it's very unusual."

Saint Joseph Regional Medical Center said in addition to executive pay cuts, remaining staff would see reductions to pay and work schedules going from 80 hours to 72 hours in some departments.


Changes at SJRMC:

  • An 8 percent change to executive pay;

  • Salary freezes for all Saint Joseph Regional Medical Center associates;

  • A restructuring of its work force; and

  • A reduction in work schedules from 80 to 72 hours in certain departments.

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