From Modern Healthcare:
Marshfield Clinic Health System will lay off around 360 employees it had furloughed earlier this year, a spokesperson said.
The nonprofit health system in January put about 3% of its workforce on temporary, non-paid leave as it manages rising labor and supply costs, among other financial challenges. Those employees will be laid off and given severance in early May, the spokesperson for the 11-hospital system said in a statement.
The staffing cuts follow the Marshfield, Wisconsin-based health system’s failed merger proposal with Duluth, Minnesota-based Essentia Health, both of which largely operate in rural areas. The combination would have created a $6 billion integrated health system spanning Michigan, Minnesota, North Dakota and Wisconsin. The health systems' CEOs said in January, when talks ended, that the timing wasn’t right.
Marshfield has recorded operating losses since 2021. Through the nine months ended Sept. 30, the latest data available, Marshfield reported an operating loss of $133.6 million on operating revenue of $2.32 billion. The health system recorded an operating loss of $92.6 million on operating revenue of $2.28 billion in the comparable 2022 period.
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