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# Saint John’s lays off 200 employees
- URL: https://www.smdp.com/saint-johns-lays-off-200-employees/
- Published: 2003-12-13T16:00:00.000Z
- Updated: 2026-10-23T03:19:36.000Z
- Author: Carolyn Sackariason
- Tags: Business, Santa Monica, #archive-import

*Hospital faces tough economic realities*

Saint John’s Health Care Center laid off 200 employees and eliminated more than a half dozen patient programs on Thursday.

Estimated to save the center about $10 million, the cuts are in response to the hospital’s declining revenues and increasing operating costs over the past year, administrators said. The lay-offs constitute 12 percent of the hospital’s workforce, which is estimated at about 1,650 workers.

Employees received notice that they will be out of a job effective Feb. 9, which is in accordance with labor laws. About 30 contract labor and vacant positions are included in the lay-offs.

Saint John’s has eliminated outpatient physical therapy, outpatient speech therapy, outpatient/inpatient occupational therapy, outpatient cardiac rehabilitation, parent education, personal health care services and Saint John’s Home Health Agency. Jobs in those departments were included among the 200 positions eliminated.

The hospital hasn’t had a mass lay-off for nearly a decade — the last one occurring in 1994 after the Northridge Earthquake shut down the hospital. More than 1,500 people lost their jobs then because the hospital was inoperable.

Saint John’s officials are in discussions with a non-profit agency to assume ownership of the Home Health program with the hope that the program could continue. Saint John’s also is providing out-placement counseling services to assist employees in transitioning to future employment opportunities, as well as information about the hospital’s severance policy and payments.

“The loss of employment is traumatic for most people,” said Saint John’s CEO Bruce Lamoureux, who spent most of Friday meeting with employees to explain the lay-offs and the hospital’s future. “We ask that you keep those who are affected by this action in your thoughts and prayers. They have served our community, each other and Saint John’s faithfully for years. We are deeply disappointed that we are not able to keep all of them under employment at this time.”

Hospital administrators put a business plan in place earlier this year to address the growing deficit, but after a few months, officials faced the inevitable.

“We developed a corrective action plan over the past several months that included everything except lay-offs and it has been in place for several months, but it wasn’t sufficient enough, which is why more significant and dramatic action had to be taken,” said hospital spokeswoman Barbara Bishop.

It’s unknown if more lay-offs loom on the horizon, but hospital officials are hoping to increase revenues by collecting money owed sooner — submitting claims for health insurance more timely and accurately, Bishop said.

Hospital officials also plan to refine and improve Saint John’s business procedures, find new sources of revenue through program growth and renegotiate health plan contracts. It’s unknown what the hospital’s operating budget is or how much the deficit was.

Many employees left on Thursday with severance packages, while others will stay on through January. Those who were spared their jobs are concerned about their own futures, officials said.

“The mood is somber,” Bishop said. “There is a range of emotions that one would expect that include grief, loss and anger.”

The Cardiac Rehabilitation Department, including all monitored and non-monitored programs, will be closed Dec. 19\. Patients should call (310) 829-8927 for more information, including referrals to other programs and reimbursement for pre-paid programs. Physicians and patients requesting copies of rehabilitation records should contact Saint John’s by Dec. 19 so that arrangements can be made as soon as possible.

The last day for outpatient services for physical therapy, occupational therapy and speech therapy, will be Dec. 24\. All classes, including Fit-for-Life, Healthworks and Steppin’ Up to Fitness will end on Dec. 22\. Physicians and patients should call (310) 829-8236 by Dec. 24 for more information, including referrals to other resources and medical records. Patients also may contact their individual therapists directly for resources and referrals.

Officials said there will not be a lapse in Home Health Services. Over the next several weeks, patients will be contacted by a Saint John’s Home Health Agency representative to assure them their services will continue. Patients with immediate questions can call (310) 829-8825.

There also will not be a lapse in personal health care services. Over the next few weeks, patients will be contacted by a personal health care service representative to ensure continued services. Patients with immediate questions can call (310) 449-5222.

Parent Education services and classes will be discontinued on Feb. 10, with the exception of the Lactation Station, which will continue as usual. Patients should call (310) 829-8397 for more information, including referrals to other programs and reimbursements for pre-paid classes scheduled after Feb. 10\. Expectant parents who would like to arrange a tour of the hospital prior to their delivery date should call the nursery at (310) 829-8794 to make arrangements.

*Originally published in the Santa Monica Daily Press print edition on December 13, 2003.* [Read the original PDF.](https://s3.us-east-1.amazonaws.com/smdp%5Fbackissues/121303.pdf?ref=smdp.com)