Good Samaritan Hospital announces furloughs, cost-cutting measures

In a video announcement released yesterday, Good Samaritan Hospital President and CEO, Rob McLin, announced that the hospital will be initiating cost-cutting measures to help stabilize their already-struggling financial position.

The hospital began cancelling and postponing all elective surgeries on March 18th after Governor Eric Holcomb implemented the stay-at-home order due to the COVID-19 pandemic.

Since that time, the hospital’s daily census has dropped by 50%, ER visits have decreased by 50% and ambulatory visits have decreased by 65%.

According to McLin, “These declines are not sustainable without substantial short-term reductions.”

Good Samaritan has already implemented cost controls including travel bans, restrictions on capital purchases, as well as a freeze on tuition reimbursement for employees, critical supplies, and new hires.

These measures will help to prepare for a surge of COVID-19 patients that is expected as late as the middle of May.

In addition, Good Samaritan will implement a 60 day employee furlough program beginning with the April 26th pay period. The furlough, as opposed to a reduction-in-force, will allow employees to immediately seek unemployment compensation.

McLin did note that benefits for furloughed employees will be carried by the hospital throughout the furlough period.

You can view the full announcement below.

About Good Samaritan

For more than 110 years, Good Samaritan has been a health care leader in southwestern Indiana and southeastern Illinois. Located in historic Vincennes, Good Samaritan is a 158-bed community health-care facility with over 1,900 employees and a commitment to delivering exceptional patient care.

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