Job cuts at AGH part of 'strategic' process
Workers are losing jobs at Allegheny General Hospital as part of a restructuring of the medical center to become more “effective, efficient and accessible,” the hospital said on Monday.
Spokesman Dan Laurent declined to provide specifics but said rumors that as many as 300 positions would be eliminated at the North Side hospital are incorrect.
“Nothing anywhere near that occurred at AGH or anywhere else in the organization,” he said.
“We are routinely assessing and adjusting our workforce structure across all of our assets to meet the evolving needs and strategic direction of the health system,” Laurent said, calling it “an ongoing process that involves eliminating positions in some areas and adding positions in other areas.”
Allegheny General is the flagship hospital of Allegheny Health Network, which health insurer Highmark Inc. established last year with its acquisitions of West Penn Allegheny Health System and two other hospitals.
West Penn Allegheny, nearly bankrupt at the time of the acquisition, has posted huge financial losses for several years. In February, the system reported an operating loss of $2.1 million for the October-December quarter, which was improved from an operating loss of $33.1 million in the quarter the year before.
Part of Allegheny Health Network's strategy to turn around its finances is to trim expenses. In July, the system announced it would lay off 262 workers and eliminate 200 open positions.
The five-hospital West Penn Allegheny system employed 10,150 people as of Dec. 31, according to a filing with the state Department of Insurance.
Officials with the SEIU Healthcare Pennsylvania union, which represents nurses at Allegheny General, did not respond to requests for comment.
Highmark has spent about $2 billion to form its network to compete with UPMC, the largest network of hospitals and doctors in Western Pennsylvania. Because of the insurer's hospital purchases, UPMC has refused to negotiate a reimbursement contract that would give Highmark members in-network access to UPMC hospitals and doctors.
Without a contract, Highmark subscribers will pay more costly rates at UPMC after Dec. 31, which could push more patients into the Allegheny Health Network.
Highmark has about 3 million members in Western Pennsylvania.
Alex Nixon is a staff writer for Trib Total Media. He can be reached at 412-320-7928 or firstname.lastname@example.org.
Add Alex Nixon to your Google+ circles.
Show commenting policy
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.
- Analyst outlines Klein’s supplements, prescriptions
- Police obtain warrant against North Side 17-year-old in Penn Hills shooting
- Movie studio owner building in McKees Rocks is $540K in red
- Slow-moving train hits car in Lawrenceville
- Ramps reopen from East Ohio and Heinz streets to northbound Route 28
- Pittsburgh still lags in accounting system for off-duty officers
- Ferrante defense questions recordkeeping of lab that tested cyanide
- Boyce Road water main breaks for 3rd time in 3 days
- State’s ‘public-private’ transportation deal will replace 53 bridges in Allegheny County
- 32nd District seat in Pa. perceived as pivotal for chamber control
- Ferrante suicide letter says he did not kill wife