University of Chicago Medical Center plans to lay off hundreds of employees as it works to cut up to $100 million from its budget, according to a report by Crain's Chicago Business, a sister publication of Modern Healthcare. Chief Executive Offficer James Madara confirmed late Friday that the 600-bed hospital plans a major restructuring amid growing financial pressures from the flagging economy.
He would not specify the number of job cuts, although a person familiar with the plans said the Hyde Park medical center hopes to reduce its workforce of 10,000 employees by roughly 10%. Madara said attrition would account for a large portion of any job cuts that are made.
The hospital joins the growing ranks of large medical centers locally and nationally that are cutting staff as their bottom lines are hit with declining patient volumes and mounting unpaid bills from uninsured patients.
About 15 senior level executives already have left, Dr. Madara said. The rest of the layoffs likely will be made in February, once U of C finalizes its restructuring plan. Cuts will be made across the organization, including some clinical programs, although he said the specifics are still being worked out.