Vanderbilt University Medical Center announces up to 650 layoffs
The big picture: The Trump administration is pursuing massive cuts to National Institutes of Health research grants and to the Department of Health and Human Services. The budget bill pending in Congress proposes deep cuts to Medicaid, which provides health insurance to 83 million low-income adults and their children.
Aggressive cuts have put research hospitals across the country on their heels.
VUMC president and CEO Jeff Balser previously warned that the federal cuts would lead to layoffs and hobbled research projects.
Flashback: In March, VUMC announced plans to slash its budget by $250 million because of the Trump administration's spending cuts. At the time, Balser said more cuts and layoffs could be needed as the scope of the funding fallout became clear.
The latest: In a new statement Friday, VUMC said operating costs would be cut by $300 million due to "budgetary actions in Washington, DC related to government-sponsored research and patient care."
Layoffs will hit up to 650 employees "primarily in research, administrative and other support areas." That total includes employees who were already laid off earlier this year as well as a new round of reductions that began Friday.
VUMC announced staffing reductions in a video message to employees.
What they're saying:"While this is extremely difficult, the staffing loss represents less than 2% of VUMC's total workforce," the VUMC statement read. Laid off employees will get severance and "other assistance."
"VUMC sees more than 3.5 million patient visits each year and remains committed to meeting the needs of all who depend on us for health care."
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