FARGO (AP) - Officials with MeritCare Health System say the state's largest hospital plans to lay off up to 100 workers later this week, and other employees will have their hours reduced.
Details of the cutbacks have not been completed, officials said Monday in a news release.
"Great care is being taken to ensure that these changes do not impact the quality of patient care," the release said. "In addition, we will be doing everything possible to support both the employees who lose their jobs and those who remain."
The cutbacks will affect about 300 employees and some positions will not be filled, the release said.
MeritCare officials said the company's financial situation is affected by a planned 2.5 percent reduction in reimbursements from Blue Cross Blue Shield of North Dakota, and expected Medicare cuts of 10.6 percent to physician payments.
"We have taken numerous steps to strengthen our financial condition and operational performance, along with the reduction in work force," the release said.
Blue Cross Blue Shield of North Dakota recently announced it was facing a higher than expected underwriting loss and was likely to trim reimbursements to health care providers. A Blues spokeswoman said Monday it would be premature to comment on the MeritCare cutbacks until details are released.
MeritCare spokesman Darren Huber said hospital officials would have no further comment. A news conference to discuss the layoffs is scheduled for Thursday.
Posted in State-and-regional on Monday, June 23, 2008 7:00 pm Updated: 2:23 pm.
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