By the time this is published, most or all of you
will have heard or been affected by the recent reduction in force. Across Mercy
about 350 individuals, more than 100 in the Springfield Communities, have had
their positions eliminated. Another 100 have kept their jobs but had their
management positions reduced. Many of you have heard the reasons for these
actions. Continued implementation of cuts in the Affordable Care Act, cuts in
Medicare reimbursement, a switch to value-based payments, and lack of Medicaid
expansion in Missouri are among many reasons that the Springfield Communities
will see at least $30 million less revenue in the coming year, despite taking
care of more patients.
Less revenue forces us to find ways to reduce our
costs if we are going to maintain the quality and breadth of service our
community expects from us. Given that approximately 60 percent of all our costs
are wages and benefits, it is no surprise that part of that cost reduction
results in a loss of co-workers.
As this financial reality became clearer and it
became apparent what actions we would need to take, our priority became placing
the brunt of the reduction in force on management and doing everything we could
to augment salaries and additional manpower to front-line positions – to the
ER, hospital floors and clinics where patients are cared for. Thus the jobs
affected in the Springfield Communities have primarily been vice presidents,
directors, managers and supervisors. Some of these individuals have been with
Mercy for many years and dedicated their entire professional careers to our
organization, which makes it disheartening for all of us. That, of course, is
the hard thing.
Decisions about cutting costs and making our
organization sustainable start on pieces of paper, analyzing numbers, reviewing
metrics…and then that time ends. Numbers turn into positions which turn in to
people. People we know and work with and care about. People who have families
that rely on them, with bills that have to be paid, and dreams that now have to
be reimagined. That’s when it gets real. That’s when the emotions of the moment
become our reality and the numbers and metrics that led to them seem distant
and hollow.
For those who have not been directly affected by the
reduction in force, I suspect some will continue to have fears. Perhaps some
will fear they could be next. Perhaps some question our commitment or ability
to sustain the organization. I cannot quiet all those fears. The fact remains
that these are challenging times for health care. But while this moment may be
difficult, we will face these moments together and overcome our challenges. Perhaps
it is comforting to know when times get hard that there have always been hard
times. Through each of those times we have gotten better, learned how to work
smarter and remembered how we were resilient. One day when we inevitably face
another difficult time, we will no doubt look back on this moment and recall
the sadness of what it is like to do hard things. Yet as we recall the sadness,
we will also know that when we had to, we were able to do hard things – the
hard things that allowed us to continue in the service of others. We will be
mindful to let our hopes, not our hurts, shape our future.
I thank each one of you for your continuing service
and resilience in this moment. If you have questions about the reduction in
force or want to express your thoughts to me directly, please email me at Alan.Scarrow@mercy.net.
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