Via Christi begins layoffs in Kansas hospitals

By The Mercury

Via Christi Health has begun layoffs in its Kansas hospitals, including Mercy Regional Health Center in Manhattan.

The company is reducing its workforce by about 360 positions, it announced it a press release Wednesday afternoon.

That will affect about 230 full and part-time workers whose jobs are being eliminated.

The rest come from recently vacated positions that will not be filled.

Of the 360 positions cut, 6 percent or about 22 positions will be in Manhattan.

Seventy-eight percent of cuts will be made in Wichita and 16 percent will be made in Pittsburg.

Nearly half of the positions being eliminated are in management, administrative or non-critical support roles.

Via Christi began notifying staff members Friday, according to the release, and expect to finish the conversations by June 10.

Via Christi Health cited declining hospital and physician visit volumes as the reason for its declining revenues and need for cuts.

Despite performance improvement initiatives designed to reduce costs, with less than two months left in its fiscal year, Via Christi was approximately $18 million below budget.

While not operating at a loss, its year-to-date operating margin as of April 30 was 0.1 percent, which Korsmo said was a fraction of the 3 to 4 percent operating margin needed to sustain its mission in the long term.

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