Until recently, jobs in Boston in the healthcare industry have been relatively recession proof due to the necessity of the services the sector provides. According to the most recent data from the U.S. Bureau of Labor Statistics, this area of employment has seen a 2.2 percent increase in jobs since October of 2007. Despite this, one local healthcare facility will soon be laying off workers.
On December 17th Boston Medical Center announced that it will be doing away with jobs, cutting $14 million in expenses not related to its payroll and ending its working relationship with Quincy Medical Center. All of these efforts are being undertaken in order to shave off $61.5 million form the healthcare providers budget.
As a result of decreased supplemental payments for Medicaid from the state, the medical facility is planning to do away with somewhere around 250 Boston jobs. Of these positions, 130 are full-time jobs. This is expected to save the hospital $10.5 million.
The layoffs aren’t simply concentrated in one part of the medical employer’s areas of expertise. Instead, they will be spread out, which will likely lower the effect that losing these workers will have on each department. The areas of operation that stand to do away with jobs include obstetrics, ¬¬family medicine, primary care, geriatrics, pediatrics, radiology, nursing, urology, endoscopy, ophthalmology, endoscopy and the laboratory.
Jobs in Boston that will likely decrease with the healthcare provide aren’t limited to positions that effect patients directly. Administration, finance, dietary services, information technology, interpreter services and public safety will all be cutting their payrolls soon.
“When the state made the recent cuts to close the budget gap and the administration cut Medicaid and health-care funds as much as they did, Boston Medical Center felt more than its fair share of the pain,” said Elaine Ullian, who is BMC’s chief executive officer. “More than 50 percent of BMC’s patients are low-income, and they are the people who are most hurt by any reduction in access or services.”
Aside from cutting Boston job opportunities, the healthcare provider will be scaling back on physician support, insurance coverage and relationships with Quincy Medical Center throughout the next two year. By not aiding QMC alone BMC will save approximately $2 million.
The level that patient care will be affected has yet to be determined. Hopefully, BMC will find away to make these budget cuts without hurting those who matter the most.