Mass General Brigham, the parent organization of the only hospital on Martha’s Vineyard, announced on Monday that it will be cutting jobs across its hospital network as a part of a restructuring effort in preparation for a projected $250 million budget gap. It has been reported it would be the healthcare system’s largest round of layoffs to date.
Whether jobs will be impacted on the Island is uncertain; representatives from Martha’s Vineyard Hospital and Mass General Brigham did not tell the Times whether the cuts would impact the Vineyard.
Jennifer Street, Mass General Brigham senior vice president of communications, said in a statement the layoffs will be primarily focused on “non-clinical and non-patient facing roles” like managerial and administrative positions. Street also said that employees that are laid off will receive severance packages and benefits coverage.
“We are also facing the same unrelenting pressures affecting many health care systems across the country that are contributing to a projected budget gap of a quarter of a billion dollars within the next two years,” Street said. “We are acting now to allow us to continue with planned and future investments.”
Vineyarders can at least be relieved that medical personnel won’t be leaving the Island due to the layoff. Martha’s Vineyard Hospital currently has a waitlist of 1,000 people for primary care doctors. That could increase by another 1,000 people if Vineyard Medical Care, with owners looking to end their lease, is unsuccessful in finding a provider to take over its Tisbury location.
Mass General Brigham is the state’s largest private employer, currently employing over 82,000 workers. While Mass General Brigham officials did not specify how many positions will be cut, the Boston Globe reported that this will be the hospital system’s largest layoff in history and hundreds of employees will lose their jobs over the year.
Anne Klibanski, president and CEO of Mass General Brigham, also cited “poor financial performance” over the past several years as a reason for the layoffs, despite Mass General Brigham reporting overall gains in the last two years. Data from the state’s Center for Health Information and Analysis shows Martha’s Vineyard Hospital had a surplus of $1.238 million in fiscal year 2023, the most recent year available.
While Mass General Brigham officials say the move will cut down administrative hurdles and unnecessary positions, they’ve been less clear on where the $250 million gap stems from.
The news of the layoff follows the National Institutes of Health’s Friday announcement to slash grants for “indirect costs,” such as overhead costs for facilities and administrations of institutions like research hospitals and universities — a move that has since been paused by a restraining order from U.S. District Judge Angel Kelley in Boston after the Trump Administration was challenged by attorney generals from 22 states, including Massachusetts.
Mass General Brigham is one of the largest recipients of the federal agency’s funding, receiving over $1 billion in 2022. Officials with the hospital network deny any relationship between the two announcements.
“These actions are unrelated to the recent NIH announcements,” Michael Morrison, senior director of external communications with Mass General Brigham, told the Times.
There has also been a recent increase in nursing costs. Nurses at several Mass General Brigham hospitals, including on the Island, threatened to strike over what they saw as unfair contracts. Martha’s Vineyard Hospital nurses saw a 30 percent pay raise last month after a new contract was reached between their union and the hospital, a similar increase rate received by nurses at Brigham and Women’s Hospital in Boston.
“There is no connection to one particular group but labor costs in general are one contributing factor among many,” Morrison said.
The cuts are expected to start this week with a second round of cuts in March, the Globe reported.
Klibanski, in a statement, said the reorganization will be completed by March.
“This reorganization will improve efficiency, simplify decision-making and empower staff with more direct access to leadership,” Klibanski wrote in a mass email to its hospitals. “Importantly, it will allow us to continue with planned and future investments in support of our patients and our mission, and to improve the lives of our clinicians and researchers.”
“These actions are unrelated to the recent NIH announcements”. Why did the MV Times feel the need to include a paragraph on the NIH cuts when they have nothing at all to do with this story? Are you trying to unfairly tie the Trump administration to the obvious mismanagement of MGB?
Can you explain what “obvious mismanagement” you speak of ?
Is this a knowledgeable, educated statement ?
Are you aware of the rising costs involved in staffing a hospital and providing cutting-edge technology and care ?
Are you well-versed on the impact of the health insurance industry vis-a-vis fee reimbursements ?
Because if not – than your statement is as empty as the suggestion that the article is implicating Trump in this decision.
You can’t have it both ways.
“labor costs in general are one contributing factor among many” how much did the CEO make? Seems like that’s an efficient cut to make.
As a healthcare worker it is shocking to read that 1000 Vineyarders are waiting to see a primary care provider. And that number may increase. This is unfathomable and will certainly have the most impact on an aging population. Very sad.
No one should move to any community without first finding out whether they will be able to access a primary care physician — or a veterinarian, dentist or pharmacy. This advice applies to the entire nation. People believe they have “the right” to move — which, they sort of do — but they should not assume that services will automatically be available to them. The great COVID migration stressed all of our year-round services and they have still not recovered, perhaps never will.
These actions are related to NIH recent decisions by the President in that reduced funds to MGH for research ( MGH is an excellent hospital…tops in USA) take dollars away from other programs of the hospital…. it’s rebudget all areas of the operation, unfortunately, moving forward. We are fortunate for the excellent medical care they provide 24/7 for our people. Be thankful for the dedicated staff that serve us, because they care!
Oh, Freddie . . . you’re funny. Since MGH took over our community-based hospital care has become decidedly less patient-oriented. One never sees the same physician more than once-in-a-row; MGH is focused on the care needs of summer residents (specialty services — $$$) over the needs of year-round residents. Why do you think Windemere went to wrack and ruin? There is less communication from the hospital than ever. There ARE some great people who work there, but the MGH bureaucracy has not done us any favors. Don’t get me started on discharge planning and 90-year-old patients being sent home from Acute Care at 9 pm on a winter night. If you are admitted to ANY hospital you better have an advocate with you 24/7.
Juleann, you are correct. Some areas
also don’t have electricity, internet,
or cell service.
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