Dartmouth Health, New Hampshire’s largest private employer, is eliminating 124 jobs and canceling 303 open positions as rising labor, supply and drug costs push the healthcare provider to restructure its operations.
The changes, announced on Tuesday, affect Dartmouth Hitchcock Medical Center and Dartmouth Hitchcock Clinics Southern Region, according to the official announcement, as reported by NBC 5 News. The organization is also restructuring executive roles and administrative leadership as part of a consolidation plan, while eliminating a select number of programs.
The 124 job cuts, combined with 303 vacancies that will no longer be filled, mean 427 positions are affected by the latest restructuring. Dartmouth Health said the measures were driven by increasing costs across several areas of its operations.
Why Dartmouth Health is cutting jobs
Dartmouth Health CEO and President Joanne Conroy attributed the cuts to rising labor, supply and drug costs. The healthcare provider said the restructuring is aimed at ensuring the organization remains sustainable while continuing to serve patients and communities.
Conroy acknowledged the impact the decision would have on employees and their families.
“The employees affected by these changes have made meaningful contributions to Dartmouth Health, our patients and our communities,” Conroy said. The announcement added that some affected employees had spent many years serving the organization.
Conroy also said the elimination of a position or program does not diminish the value of the work carried out by the employees affected.
The latest cuts come alongside changes to the organization’s executive and administrative structure. Dartmouth Health is also eliminating a select number of programs as part of the consolidation, according to the announcement.
CEO says patient care will not be affected
Conroy said Dartmouth Health does not expect the workforce reductions to negatively affect patient care.
“Eliminating positions is among the most difficult decisions any organization can make, given the impact on our colleagues and their families,” Conroy said. As per the announcement, the organization added that difficult choices were necessary to ensure Dartmouth Health remains sustainable and can continue fulfilling its mission.
The organization said the changes are intended to position it for the future while allowing it to continue serving people who depend on its healthcare services.
Dartmouth Health is one of New England’s major healthcare providers. The latest announcement represents a significant restructuring for the organization, with existing jobs being eliminated alongside hundreds of unfilled positions.
The organization’s explanation for the cuts centers on higher operating costs, particularly labor, supplies and drugs.
