Phoenix Children's Hospital, struggling to compensate for a 40% construction overrun on a $100 million project and $5 million in lost revenue because of storm damage, announced its second round of layoffs in less than a year. Including the latest layoffs, the 307-bed hospital has eliminated 128 jobs, or about 6.5% of its workforce, since August. It is expected to report a $20 million loss for 2002. The latest staff reductions are designed to save $6.3 million this year. The hospital was scheduled to meet today with 19-hospital Banner Health System, Phoenix, to discuss a possible affiliation. The providers began due diligence last month as the hospital's cash-on-hand slid to 25 days. Banner owns 523-bed Good Samaritan Regional Medical Center, Phoenix, which houses Phoenix Children's neonatal intensive-care unit. -- by Laura B. Benko
Ariz. hospital cuts more jobs, pursues affiliation
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