Adena Health System announces layoffs, transitioning employees to another company

CHILLICOTHE― Adena Health System announced on Thursday that 69 positions were being eliminated and almost 350 employees will be moving to another company's payroll to reduce costs.

On Jan. 19, Adena President and CEO Jeff Graham announced that 69 positions were eliminated out of 4,250, or about a 1.5% cut.

Communications Manager Jason Gilham said about half of the impacted staff are qualified to fill open positions within the system and that Adena hopes to retain those employees. Staff members who do not secure another position will be eligible for severance and outplacement assistance.

"It doesn't affect any patient care or any services that we offer," Gilham said about the eliminated positions. "There's nothing that we're offering today, or doing anything on a patient care side today or yesterday that we wouldn't be doing tomorrow or any time going forward."

Gilham added that Adena is continuing to "strategically grow" and will continue to offer other positions.

Adena is also transitioning its revenue cycle department to Ensemble Health Partners, a vendor the health system has worked with since 2018. Consequently, 340 employees are going to be under Ensemble's payroll starting in March.

These employees have worked with Ensemble previously through Adena, but they are now employed by the company. The employees who transition may work with Ensemble's other clients outside of Adena's, Gilham said.

Gilham said affected employees will maintain their current salaries and seniority as part of this transition.

Graham also announced that the health system plans to have "discussions with all suppliers to identify and implement meaningful and sustainable cost reductions." Gilham said these discussion will include looking into negotiating contracts for medical equipment and supplies.

Gilham said the restructuring and staff reductions announced on Thursday are the only major changes planned for the year.

Megan Becker is a reporter for the Chillicothe Gazette. Call her at 740-349-1106, email her at mbecker@gannett.com or follow her on Twitter @BeckerReporting.

This article originally appeared on Chillicothe Gazette: Adena eliminates positions, transitions some employees to other payroll