LAPORTE – Indiana University Health LaPorte Hospital announced on May 9 that is laying off 112 employees as a way to help it contain increasing administrative costs.
In a letter to employees and the community, G. Thor Thordarson, president and CEO, said, “Most of us are aware that the cost of healthcare has to be reduced. More and more people in our community are either uninsured, under-insured or have a very high deductible health plan. This decision leads to the delay in access to healthcare altogether for many people. Those who access healthcare often cannot pay for it or are unable to cover the entire cost of the care.”
Thordarson said IU Health LaPorte has the ability to adapt to economic change and healthcare reform and that the staff reductions are a necessary step to do both.
“Unfortunately, since approximately 40-50 percent of the operating expenses of a typical hospital consist of personnel costs, we have to eliminate positions as part of this cost reduction,” said Thordarson, who added that the cuts will not affect the nurse to patient ratio.
