North Star Announces Layoffs Exceeding 100 Employees

ago 2 hours
North Star Announces Layoffs Exceeding 100 Employees

North Star Health Alliance, a healthcare system in New York, is set to lay off over 100 employees. This significant decision was announced on a Monday afternoon, highlighting the challenges faced by the organization as it navigates funding issues.

Details of the Layoffs

The layoffs, expected to impact approximately 120 positions, will affect both management and clinical staff, as well as non-clinical roles. North Star President and CEO Richard Duvall emphasized the personal nature of these layoffs, acknowledging the impact on employees and their families.

Workforce Distribution

  • Layoff distribution is nearly equal between the organization’s two campuses.
  • Claxton-Hepburn Medical Center in Ogdensburg.
  • Carthage Area Hospital.

Funding Challenges

The announcement arrives amidst ongoing funding disputes between North Star and New York state. In December, North Star lost state funding intended to facilitate a transition to a new business model at Claxton-Hepburn Medical Center.

The state terminated funding after raising concerns about North Star’s transparency regarding financial expenditures.

State Responses

  • State Assemblyman Scott Gray has noted a communication gap with the Department of Health.
  • Assemblyman Ken Blankenbush is actively engaging with hospital leadership regarding support for the workforce.

Future of Care and Services

A spokesperson from North Star stated that the organization is currently reviewing all operations, including its clinics. Any potential service changes will follow the necessary state review and approval protocols.

In case of service discontinuation, patients will receive direct notifications and assistance with referrals and care transitions, as noted by Jessica Bowline, North Star’s director of marketing and public relations.