Prisma Health Announces Reduction in Workforce

Prisma Health officials today announced the reduction of 327 staff positions, from their workforce of 32,000. The statement indicated they are taking additional measure to improve operating efficiencies and streamline the organization.

Prisma Health President and CEO Mark O’Halla said, “The health-care environment in which we operate is becoming increasingly challenging for a variety of reasons, including lower reimbursements and increasing numbers of patients who are underinsured or uninsured.” He added, “When we formed Prisma Health 26 months ago, we began integrating and consolidating functions to gain the benefits of scale and to remove costs from the organization. We have already eliminated duplicative executive management positions, restructured leadership, and gained significant cost savings in supplies, technology and other areas.” He said they’ve also identified additional expense-reduction strategies, many of which will impact the workforce, adding, “These are difficult decisions, but we need to make them now so we can provide the quality care our patients deserve in a financially sustainable manner that positions us for future growth opportunities.”

The 327 team members from today’s announcement will be notified beginning today that their positions are being eliminated. Areas affected span the organization, including administrative, corporate and clinical areas across all campuses. Prisma Health is providing the affected team members with severance pay and outplacement services. Affected staff also will have the opportunity to apply for open positions across the organization.

Additional changes to select services include Prisma Health Greenville Memorial Hospital’s 15-bed Subacute Unit, which will be phased out in March, and the Children’s Residential Program in Greenville, which will be phased out in April. Patient populations treated in these programs have other local options, and Prisma Health indicates it’s taking the steps necessary to ensure that there is minimal disruption to patient care during this transition.

There was no specific news as to the number of reductions at the Laurens County Hospital from this Prisma Health action. Laurens County’s hospital, which was being operated under a long-term lease by Greenville Health System, became a part of Prisma after GHS merged with Palmetto Health of Columbia.