Providence Health & Services is laying off 182 people but most of them are being offered new positions in an affiliated company.
The health system said that five people were being permanently laid off and that 177 were offered jobs in MediRevv, a company that handles business office functions like billing and accounts receivable. It is in Iowa and is affiliated with Providence.
Most of the people being laid off are in Oregon. The layoffs take effect in January. Those being transferred to MediRevv are involved in office functions.
A note to Providence employees indicated that the affected employees will have a smooth transition:
"While this is an employment change for Providence employees, following the transition in January, they will remain under their same manager (who will also be offered employment at MediRevv), continue to work from the same location, have their years of service honored, and will continue to serve Providence’s Mission – just as they always have," the note said.
Providence employs 23,000 people in Oregon and 40,000 in Washington state. In response to plunging revenues this spring following the postponement of lucrative elective procedures, the company announced pay cuts. In May, It said it would trim executive pay between 5% and 50% through the end of the year. It did not say how many people would be affected. Then in June, it said it was cutting the salaries 1,200 providers by 10% to 17.5%, depending on the compensation level, or to the level the employee was paid in 2019. The cut was supposed to last three months.
A spokesman did not respond to a request for comment about whether any full salaries have been restored.
Providence operates 51 hospitals and other health care facilities across Oregon, Washington, Alaska, Montana, New Mexico and Texas. It has 106,000 full-time-equivalent employees.
You can reach Lynne Terry at [email protected] or on Twitter at @LynnePDX.
