Monday, June 17, 2024
Hawai'i Free Press

Current Articles | Archives

Monday, August 25, 2014
$48M Shortfall: HHSC Layoffs Begin September 2
By Andrew Walden @ 11:38 PM :: 4995 Views :: Health Care

The following letter has been sent out to all HHSC employees:

To All HHSC Employees and Physicians:    August 22,2014

It is our sad duty to inform you that, effective September 2, 2014; HHSC will implement a system wide reduction in force (RIF). HHSC values its employees and this decision was an extremely difficult one to make.

The current financial condition of Hawaii Health Systems Corporation is dire. For FY 2015 (July 2014- June 2015), we are projecting a $48 million shortfall. The 2014 Legislative Session was a very challenging and disappointing one for HHSC. Several key requests for additional funding were denied.

Compounding matters, we project Medicare/Medicaid revenue reductions of $5.7 million due to Federal Budget Sequestration this fiscal year. Overall, expenses are trending upward far exceeding our revenues.

All of these factors have necessitated an intense operational review process throughout HHSC. Every region is examining internal operations on a comprehensive basis from productivity management to work flow processes. Programs and services are being examined more closely.

All Boards (Regional and Corporate) are fully engaged with their respective management teams in developing contingency plans to meet the financial shortfall. The contingency planning process has identified various actions to control expenses more closely such as the management of overtime and review of all vacancies. Some regions have already taken measures to significantly reduce contract staffing and eliminate positions through attrition. Clinical programs struggling to remain viable due to shortage of physicians and other resources are also being reviewed. Each region looked thoroughly at every possible option to address the shortfall with the care of our patients, residents, and employees at the forefront of every decision. Unfortunately,the current financial situation in some regions is not sustainable without significant changes, some of which have resulted in RIF measures.

On September 2, 2014, Regular Civil Service Employees whose positions have been identified for elimination will be notified officially. This notification will begin a 90-day process in which the impacted employee will have 90 days before his/her last day of employment. During this 90-day period, impacted employees will have the option to be placed in a budgeted vacant position. If none exists, impacted employees may choose to exercise the "bumping" process described in the applicable collective bargaining agreement RIF articles/sections. Non- regular employees will also be notified starting September 2.2014. Non-regular employees are not entitled to the RIF process.

Informational meetings are being scheduled for impacted employees so all questions about the RIF process can be answered. Human Resources staff from all regions and the corporate office is prepared to assist impacted employees in every way possible. It is our intent to make this difficult process as supportive as is possible under the circumstances.

The leaders of HHSC truly appreciate the commitment and dedication displayed by all employees in the delivery of quality care to our patients and residents.

Should you have any questions, please do not hesitate to contact your respective Regional and/or Corporate Human Resources Director. Your understanding in this difficult time is greatly appreciated.

LINK: PDF of Letter

KGI: HHSC to begin layoffs


TEXT "follow HawaiiFreePress" to 40404

Register to Vote


Aloha Pregnancy Care Center


Antonio Gramsci Reading List

A Place for Women in Waipio

Ballotpedia Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii


Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii ConCon Info

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federation of Republican Women

Hawaii History Blog

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii Military History

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Together


Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

July 4 in Hawaii

Land and Power in Hawaii

Lessons in Firearm Education

Lingle Years

Managed Care Matters -- Hawaii

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

National Parents Org Hawaii

NFIB Hawaii News

NRA-ILA Hawaii


OHA Lies

Opt Out Today

Patients Rights Council Hawaii

Practical Policy Institute of Hawaii

Pritchett Cartoons

Pro-GMO Hawaii

Rental by Owner Awareness Assn

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

School Choice in Hawaii

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii