Centegra Health System will outsource some positions over the next few months, including 30 emergency room doctors.
Medical directors, emergency department physicians, hospitalists and nurse practitioners are among 87 employees listed in a Worker Adjustment and Retraining Notification Act, or WARN, notice sent by Centegra to local municipalities dated Nov. 15.
The outsourcing will impact employees throughout the Centegra system, including its hospitals in Woodstock, McHenry and Huntley, as well as at some of its physician offices.
Three jobs will be eliminated rather than outsourced.
Employees affected by outsourcing will work for Envision Healthcare but continue to practice in Centegra’s facilities, according to Centegra spokesperson Michelle Green. Centegra’s emergency providers had worked for Envision’s emergency care branch, EmCare, until 2012.
“We are expanding our relationship with Envision Healthcare to include our general hospitalist services and to resume employment of our emergency department physicians and providers,” Green wrote in an email. “… Providers on these teams will become Envision employees and continue to work alongside Centegra associates, providing the same high-quality care they have always given our patients.”
Green said the health system’s agreement with Envision requires that it have contracts with all insurance companies contracted with Centegra so patients are not charged out-of-network costs for care by Envision-employed doctors.
Outsourcing began Nov. 14 and is expected to continue through Feb. 15.
This is the second WARN notice Centegra has issued in recent months. On Sept. 19, the health system announced plans to eliminate or outsource 361 jobs, citing financial pressure stemming from shrinking reimbursements and bad debt. Centegra reportedly posted $62.3 million in operating losses in the last fiscal year.
On Nov. 14, it received approval from a state board to permanently cut medical-surgical and intensive care beds at Centegra Hospital-Woodstock.