March 14, 2013

Murray-Calloway County Hospital Cuts 28 Workers

Citing Medicare and Medicaid reimbursement structural changes, Obamacare, and drop in patients being admitted to the hospital, Murray-Calloway County Hospital officials said they had to cut a total of 28 workers.

Also part of getting costs under control is the decision to lower the salaries of existing workers by a one-time 5 percent.

"It's just a shame that the fiscal environment outside of this hospital is causing this problem," hospital CEO Jerry Penner said. "We're just responding to this turbulent health-care environment, and we are taking the appropriate fiscal actions necessary to adjust to declining volumes and reimbursements."

Penner added that the painful cuts had to be done in order for the hospital to continue effective services. He said there will be minimal effect on the quality of care patients receive at the hospital as a result of the cutbacks.

Vicki Parks, hospital CFO, said in a letter to employees. "We must find better ways to deliver enhanced value to patients and lower the overall cost of care."

There is no doubt Obamacare and its disastrous consequences will continue to hit the health industry hard. This won't be the last hospital in Kentucky to make these types of announcements.

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