From staff reports
UPMC is laying off about 1,000 employees throughout its 40-hospital system.
In a statement, UPMC chief communications officer Paul Wood said the cuts are mostly among non-clinical and administrative staff and that affected employees will receive “enhanced severance pay and benefits coverage.”
Many of the cuts were made to unfilled positions and administrative staff through attrition, he added.
UPMC employs more than 1,000 people systemwide, and Wednesday’s announcement follows an operational loss of $198 million in 2023, according to the Pittsburgh Post-Gazette.
All three of the biggest health care systems in western Pennsylvania reported losses from operations last year. In addition to UPMC, Allegheny Health Network and Independence Health System also had operating losses in 2023, the Post-Gazette said.
UPMC lost money on operations despite an 8% revenue gain from core operations to $27.7 billion last year and a 3% increase in outpatient activity to 84,918 for the year, according to the Post-Gazette.
When it released those results earlier this year, the Pittsburgh-based health system pointed to higher costs for labor and supplies as issues.
