Texas Health Resources will be laying off less than 3 percent of its 24,000 employees, or around 700 people. The changes are coming this week as the system “takes a long-term view of its operations and continued service to the community,” according to a release.
“While we regret having to take these actions, we want to be clear that only a small number of employees were affected,” said Michelle Kirby, Texas Health’s chief people officer via release. “There are job opportunities in other areas of Texas Health and we have a long track record of placing impacted employees in other roles in our system. We are working hard to do so for these individuals.”
The layoffs will not be centered at one hospital or location, and Texas Health has plans to open two new hospitals in the next two years along with other expansions. No more detail was provided on the number of layoffs, locations for layoffs, or if the layoffs centered on any sector of the organization.
According to the Texas Health Market Review, Texas Health Resources saw a net income in 2017 of $423,193,748, a more than 10 percent margin from the year before.
“It’s imperative that we be responsible stewards of our community assets. This is core to carrying out our nonprofit mission to improve the health of the people in the communities we serve,” said Barclay Berdan, CEO via release. “Great organizations are constantly evaluating how effective and efficient they are at meeting consumers evolving expectations. Sometimes that involves tough decisions in certain areas. There are also opportunities for growth in others.”