Providence Sacred Heart Medical Center in Spokane, Wash., is laying off eight physicians in order to save an estimated $2 million to $4 million, according to a Dec. 21 report from The Spokesman Review.
The laid off physicians cared for psychiatric patients at Sacred Heart and will remain at the hospital through March as it restructures its behavioral healthcare model. These physicians will be able to apply for jobs at Sacred Heart following the restructuring, chief medical officer Daniel Getz, DO, said.
Sacred Heart also plans to bring on three nurse practitioners to serve psychiatric patients, mirroring a trend reported by Health Affairs showing a 162 percent increase in psychiatric mental healthcare nurse practitioners serving Medicare patients from 2011 to 2019.
The layoffs can be linked to the financial situation at Sacred Heart, which reported a $57 million loss in the first quarter of 2022 due to lower Medicaid reimbursement rates and higher expenses in the wake of the pandemic.