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KentuckyOne Health to Sever Ties with Doctors to Cut Costs
By: Associated Press
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LOUISVILLE, Ky. (AP) – KentuckyOne Health will terminate employment contracts with about 25 doctors as a cost-cutting measure.
The Courier-Journal reports that the Louisville-based health system said in a statement that the cuts, which will begin taking effect in July, have resulted from “challenges” in the evolution of health care reform and a decline in patient volume in some areas.
The system is comprised of 15 hospitals and has more than 200 locations, expanded after a buying spree of medical practices five years ago. Its parent company, the Denver-based Catholic Health Initiatives, posted a $76 million operating loss during the last quarter of 2016 and says Kentucky operations have suffered year-over-year losses.
KentuckyOne confirmed last month that it also would lay off 250 staff members.