Jefferson Health Lays Off Hundreds Of Employees

MONTGOMERY COUNTY, PA — Jefferson Health, which operates numerous hospitals and healthcare offices across Montgomery County, is laying off some 400 employees, they announced this week. Jefferson's CEO cited "incredible" financial pressures forcing the move.

It's not yet clear exactly which facilities will see what cuts, but they will be focused on corporate and administrative roles, the organization said.

"As has been widely reported, there are incredible financial pressures on healthcare and higher education organizations across the country," Jefferson CEO Joseph G. Cacchione said in a statement. "There are decreased patient volumes at the same time as double-digit increases to costs, and the economic models that support many payer-provider relationships do not yet reflect all the ways the environment is changing."

Jefferson Abington Hospital, Jefferson Lansdale Hospital, and Einstein Montgomery are three of the county's largest employers. Jefferson also runs several smaller offices, medical centers, and care services around the county.

Jefferson has grown vastly in recent years, expanding from a primarily Philadlephia-based healthcare company to one with footprints around the greater suburban region.

After multiple mergers, the company now has more than 40,000 employees and 18 hospitals.

Becker's Hospital Review reported Cacchione saying that Jefferson planned to end 2023 with an $80 million loss.