The Government Crash.....Health Care Emergency
November 17, 2009
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Englewood Hospital and Medical Center is laying off 24 employees, reducing hours for five other staffers and leaving 22 open positions unfilled in a restructuring to stabilize finances, hospital officials confirmed Monday.
"This decision has been reviewed very carefully to ensure that the restructuring does not impact our ability to continue to deliver quality patient care," said Douglas Duchak, the hospital's president.
The layoffs are taking place "across the board" to offset recent declines in patient volume — which occurred after an initial boost in patients that followed the closing of Pascack Valley Hospital in Westwood two years ago, spokeswoman Maria Margiotta said.
"The difficulties we continue to face in this industry, including declining patient volumes, a rise in uninsured patients and inadequate funding for charity care, Medicare and Medicaid, forces us to make adjustments in how we operate," Duchak said.
http://www.northjersey.com/news/health/70254302.html
The issues facing the above hospital are confronting practically every hospital across America.
Health Care is responsible for about 20% of our GDP.....a similar percentage to Real Estate. Most of health care revenues comes from government spend either through medicare/aid or government paid health insurance to the over 20,000,000 government workers and retirees.
With tens of millions losing jobs, and government imposing massive cutbacks to medicare/aid due to tax receipt declines....hospitals are suffering from material revenue declines. Just talk to industry salespeople and they will tell you that equipment sales that were routine in the past are being delayed indefinitely.
Real Estate has already been gutted. As a result, tax receipts to government are down about 20%.....now Health Care is facing massive cuts......the fallout will be material in both employment and industry spend.
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