Hospitals Across The Nation On Life Support From Bad Debt, Credit Troubles

[babylonsister]

Hospitals ill from more bad debt, credit troubles

LINDA A. JOHNSON | December 27, 2008 09:31 PM EST | AP


TRENTON, N.J. — Gainesville's first community hospital has been on life support since the Shands Healthcare system in northern Florida bought it a dozen years ago.

Now, because of the recession, the plug is being pulled on 80-year-old, money-losing Shands AGH. Next fall, its eight-hospital not-for-profit parent company will shut the 220-bed hospital and shift staff and patients to a newer, bigger teaching hospital nearby as part of an effort to save $65 million over three years across the system.

Like many U.S. hospitals, Shands is being squeezed by tight credit, higher borrowing costs, investment losses and a jump in patients _ many recently unemployed or otherwise underinsured _ not paying their bills.

All that has begun to trigger more hospital closings _ from impoverished Newark, N.J., to wealthy Beverly Hills, Calif. _ as well as layoffs, other cost-cutting and scrapping or delaying building projects.

More closings and mergers are on the way, industry consultants predict.

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http://www.huffingtonpost.com/2008/12/28/hospitals-ill-from-more-b_n_153766.html

[K Gardner]

1. Many of the nurses I work with have a false sense of security, as if their jobs are "safe". I

beg to differ with them and have quit my regular "travel nursing" gig and am signing on as permanent staff here at home. I talk to RNs everyday who are in a state of panic, unable to find their next contract and not realizing that this WILL trickle down to every facet of our society. Even some of those who have begun looking for staff positions are having trouble.

None of us are safe. It will eventually effect everyone in one way or another.

[babylonsister]

2. Very scary imo. I thought nurses were safe also until I read this.

You're smart to be looking towards the future. It does seem it's going to get worse before it will get better.