Habersham Medical Center announced today that, as of Monday, it has implemented temporary furloughs due to lack of funds.
The hospital says the furloughs affect support personnel and the decision to “temporarily reduce staff will not affect direct patient care.” The hospital did not specify how many staff members are affected nor the departments they serve.
The furloughs are necessary because of a downturn in revenue caused by the global pandemic, according to a news release issued by HMC Thursday.
Now Habersham has reached out to the hospital for additional details but has not heard back.
A “difficult step”
The U.S. Surgeon General and Centers for Medicare and Medicaid Services (CMS) directed hospitals to postpone elective procedures to reduce the spread of COVID-19. Elective procedures and outpatient services such as surgery, lab, imaging, therapy, and rehabilitation services are where HMC and many other rural hospitals make their money.
“This directive will help reduce the spread of COVID-19 through close contact and preserve Personal Protective Equipment (PPE) for healthcare workers that care for those who are infected,” a news release from HMC states. “Unfortunately, the consequences of postponing outpatient services and elective procedures have caused a significant decrease in volume and subsequently diminished a vital revenue source that helps sustain the hospital.”
“This is a difficult step taken to address a difficult moment,” says HMC’s chief executive officer Lynn Boggs. “While making this decision was hard, it is necessary for HMC to, first and foremost, hold true to the mission and values of our hospital by minimizing our employees’ exposure to COVID-19. We must also be responsible stewards of the limited resources we have to prepare for and respond to the coronavirus outbreak.”
Uncertainty
Although furloughed employees will cease or have reduced work temporarily, they will maintain their active status with the expectation of returning.
“Because this is a rapidly evolving situation, we do not know how long it will be in effect,” says HMC’s vice president of strategy and business development Tyler Williams. He says furloughed employees could be called back “at any moment.”
During their called meeting on Wednesday, April 8, the Habersham County Commission approved a $5.2 million dollar bond issue to help the hospital maintain operations during the pandemic. It is not clear whether that money will be available to bring back furloughed workers.
