December 7, 2012

Lewiston hospital announces job cuts

The CEO of St. Mary's Health System says the state owes the company $23 million and it can no longer absorb that debt.

The Associated Press

LEWISTON — A Lewiston hospital is eliminating jobs as part of a restructuring effort.

Executives at St. Mary's Regional Medical Center say some positions are being eliminated, departing employees are not being replaced and layoffs are the hospital's parent company undergoes restructuring.

The Sun Journal reports that about 25 positions could be eliminated, but that number was described as "fluid."

Lee Myles, president and CEO of St. Mary's Health System, said in a statement that charges are being made to prepare for health reform and to make adjustments for reductions of MaineCare reimbursement.

He says the state owes the company $23 million and it can no longer absorb that debt.

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