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Swedish to layoff 150 people, cite financial problems

by LINDA BRILL / KING 5 News

KING5.com

Posted on September 21, 2011 at 7:22 PM

SEATTLE -- Money trouble at Swedish Hospital and a big part of the problem is due to thousands of uninsured.

At 22, Dominic Abron lost his health insurance when his mom lost her job.  It happened just when he needed surgery to repair a broken hand.  Unable to pay, the hospital ended up footing the bill.
 
"My hand is a thousand times better than it was.  I'm so happy that I was granted to get surgery," said Abron.
 
This year the hospital is spending $24 million more than expected for patients who can't pay.  
 
"The way the economy has effected us we're seeing a continuing deterioration of our revenues," said Swedish Chief Administrator Mike Carter.
 
And adding more financial pressure, lower medicaid and medicare reimbursements from the government.  Swedish will layoff workers mostly behind the scenes staff in pharmacy, labs and food services.  Will it effect patient care is the big question.
 
"Let me say that we've used as a philosophy to keep the cuts as far away from the bed side as we can," said Carter.
 
Swedish is not alone with nearly 150 layoffs.  Providence Hospital in Everett will drop 150 to 175 positions.  Multicare in Tacoma to lose 300 to 350 positions.  Many other hospitals are struggling too.
 
Some Swedish doctors like orthopedic surgeon John Miyano donate their time to help the uninsured, a growing population lost in the system.
 
"People are waiting to come in for evaluations and some are not being treated at all," said Dr. John Miyano.
 
"I think the current model is unsustainable for our country and our current cost structure here at Swedish is unsustainable for us," said Carter.
 
Adding to the financial uncertainty at Swedish, the nurses union contract talks are stalled and soon they'll be entering into mediation.
 
Carter says he believes a better model for future hospitals is smaller clinics with more preventative medicine.  

 

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Comments: Displaying 1 - 8 of 8

lotsoflies said on September 22, 2011 at 12:20 PM

I would cry for the CEO's and the COO for the bind THEY created if it weren't for the fact that I don't see any of them taking a pay cut. They are the highest paid NON PROFIT management. HUH? They are so broke, the only made $750 million of their investments-HUH? They keep building new clinic/urgent care clinics, acquisitions and hospital with state of the art equipment to include a Victoria Secrets, Coach store and restaruants-HUH? If Swedish can't afford their current employees why add more? Every cut affects pts-don't fall for the lies.

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davebrownspoint said on September 22, 2011 at 7:54 AM

Single-payer would be the most economical, but the blockheads on the free enterprise side insist that profiteering is needed. Remember that health care executive that "earned" a billion dollars a year in salary? That's the sound of your insurance cost flying out the window.

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nutinbutdatruth said on September 22, 2011 at 7:19 AM

They just buit a 300million hospital and more hospitals coming up on the island and on the eastside.wonder where the moneys going?this is a ploy cause nurses contract coming up

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commonsensewa said on September 22, 2011 at 1:37 AM

But they keep building new hospitals.......

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monocytogenes said on September 21, 2011 at 11:00 PM

I thought SMC was going to cut twice as many positions, so if only half that many are losing their jobs, it's slightly better news. But implying that eliminating workers in the kitchen is "far away from the bedside" is ridiculous. Poor food (or poor food service) affects patient care pretty directly, in my experience. How sad that they're cutting Nutrition Services, one department with postions that require a science degree, and don't pay all that well, and never had excess workers to begin with. But in all fairness, the services provided by the lab and pharmacy aren't that much farther away from basic patient care, either.

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c8lsonics said on September 21, 2011 at 10:06 PM

@eastsiderocks HUH? What are you talking about? If people choose not to get coverage why should I be FORCED to pay it for them. Shame on Swedish for footing the bills, knowing they will never get paid back. Kinda like giving an alcoholic a drink cause you feel sorry that they have to suffer without one!

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eastsiderocks said on September 21, 2011 at 9:48 PM

Biggest reason the heathcare system is broke. Repubs and the Tea Party need to know that the health care system is already socialized. I pay for my health care, and it makes me mad that people that can afford their health care decide not too. I think it should be required, and those that cannot truely afford it can get help from the gov't. We already pay for it one way or the other.

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davebrownspoint said on September 21, 2011 at 7:53 PM

Multicare might be in trouble because without untold $Ms flowing in, they can't afford their overpaid CEO, or the many Taj Mahal facilities they've built in the past few years. The workers pay the price.

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