(WBIR-Knoxville) The Tennova hospital system is laying off several dozen employees.
In a letter to Mayors Madeline Rogero and Tim Burchett, as well as the state labor department, hospital leaders say 75 employees will be laid off as early as mid-October.
The letter says the employees work in the Regional Service Center, which is located at Physicians Regional Hospital in North Knoxville.
Tennova is owned by Health Management Associates. Franklin, Tennessee-based "Community Health Systems" announced plans to buy HMA for about $7.6 billion dollars. That purchase is expected to be finalized next yea, if stockholders approve.
Statement from HMA:
With major changes underway in healthcare and the strong economic pressures that have resulted, Health Management Associates must now, more than ever, work to improve the effectiveness and efficiency of our hospitals' operations. One way we have done so has been to create regional service centers that consolidate hospital business office operations.
In a further response to this challenging economic environment
and the pending implications of the Affordable Care Act, we will be consolidating some of the activities at our Knoxville regional service center into our center in Arkansas. That will result in 75 positions being moved from the Knoxville center to Arkansas.
Knoxville Associates affected by this move are being offered the opportunity to relocate to any of our service centers in Arkansas, Florida, North Carolina and Mississippi, as well as assistance with transitioning to open positions at our Tennova hospitals.
We appreciate the hard work and service of these dedicated associates and will strive to make this transition as easy as possible for them.
As always, our first focus is on the quality of care we provide to patients. This difficult move helps us to be good stewards of our resources, so that they may be put to maximum benefit for our patients.