Jun 09, 2026
UVM Health cut 142 positions across its Vermont and northern New York system on Tuesday, a move that Vermont’s largest health care provider said is part of an ongoing effort to address a projected $100 million financial gap this year and reorganize how care is delivered across its hospitals and c linics.  The layoffs include 76 positions that have been permanently eliminated, while another 66 roles will be reposted with revised responsibilities, according to a message sent to UVM Health staff on Tuesday. The changes are expected to save about $9.5 million annually. Dr. Steven Leffler, president of UVM Health, told staff on Tuesday that most of the affected positions do not directly provide patient care, though he acknowledged “targeted clinical changes where necessary.”  UVM Health operates hospitals and clinics that serve patients across the region, meaning changes in staffing and operations could be felt broadly, even if the most immediate cuts are concentrated in administrative support roles. The health system has been under sustained financial pressure in recent years, with leaders citing a combination of rising labor costs, increased reliance on temporary staff, and new reimbursement models from commercial and government insurers. This spring, Leffler told state lawmakers that ongoing operating losses at its flagship hospital, UVM Medical Center, averaged roughly $460,000 per day. In a written statement on Tuesday, Leffler acknowledged the impact of these “difficult decisions” on colleagues, but said they’re necessary for the health system to continue “to provide high-quality care that is accessible and more affordable for the communities we serve.” Owen Foster, chair of the Green Mountain Care Board, said that the cuts, while difficult, are necessary. The impacted jobs, Foster said, appear to target areas of administrative duplication and positions where UVM Health was “overindexed” compared to national peers.  “These were the right areas for them to target to ensure that they have a sustainable operation,” Foster said, adding that it’s too early to determine whether restructuring will affect access to care. Foster anticipates more changes, such as administrative layoffs and restructuring, are likely across Vermont’s hospitals as the state continues its hospital transformation in an effort to curb rising health care costs.  Prior to Tuesday’s announcement, UVM Health had already taken steps to reduce costs, including cutting contract labor, pausing discretionary spending and reducing incentive pay for leaders. Last summer, UVM Health eliminated 146 administrative positions. This spring, Leffler told state lawmakers the health system was focused on improving administrative efficiency and provider productivity.  Union leaders, however, warned that the latest reductions could affect health care delivery, noting the cuts include nurses, laboratory technicians, patient support staff and others in patient-facing roles.  In a joint statement, Support Staff United, Vermont Federation of Nurses and Healthcare Professionals, and Porter Federation of Nurses and Health Professionals said impacted positions include primary care nurses and staff in population health programs at UVM Medical Center, as well as nurses in primary care and obstetrics and gynecology clinics at Porter Medical Center.  The unions said more than 160 workers could be affected and that impacts on the union employees could take effect as soon as July 24, subject to bargaining.  “Many of these positions are patient facing or support patient care, and their elimination would have an enormous impact on the quality of care we’re able to provide our community,” the unions said.  Leffler said additional steps are likely needed as UVM Health continues to address its long-term financial challenges, but he did not provide additional details on when those changes will take affect or what they will look like.  The post UVM Health Cuts 142 Positions Amid Ongoing Restructuring appeared first on Seven Days. ...read more read less
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