Washington Regional Medical Center will be furloughing employees in response to the COVID-19 public health emergency. Approximately 305 full-time employees are expected to be furloughed, starting April 19.
According to CEO Larry Shackelford, the furloughs are expected to last 60 days. In a statement, he attributed the necessity of furloughs to the reduction in elective and non-urgent procedures at Washington Regional, as well as hospitals across the United States.
“”The impact of the coronavirus public health emergency on the nation’s economy, in general, and on the healthcare sector, in particular, is well documented. More than 16 million Americans are currently unemployed and countless health systems across the nation and in Arkansas have implemented furloughs and other cost-saving measures,” Shackelford wrote in a statement. “Federal and state public health authorities have mandated a reduction in non-urgent and non-emergent surgical, diagnostic and outpatient procedures. The effect of those measures has resulted in a significant loss of revenue for the nation’s hospitals.”
Salaried employees have reportedly received a 10 percent salary reduction while senior management employees have received a 25 percent reduction.
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Image courtesy of Washington Regional