Connecticut”™s hospitals are facing a collective revenue decrease of as much as $400 million per month during the COVID-19 crisis, according to the Connecticut Hospital Association.
The association, which represents 27 acute-care hospitals in the state, noted that the growing deficits are due both to the loss of income from elective surgeries and other routine procedures, and to an increase in expenses. Hospitals have spent between $75 million and $100 million to date for supplies, equipment, training and increasing patient capacity, the CHA said.
In response to those pressures, the Connecticut Children”™s Medical Center, whose health system includes a pair of pediatric operations in Danbury, has announced it is furloughing 400 employees across that system. It also is eliminating 31 positions as part of a restructuring that began before the virus outbreak, which is designed to save the system $20 million in annual operating costs.
The furloughed employees, who represent about 14% of the system”™s workforce, are expected to return to full-time work by early June, according to the system.
As of last night, there were 608 coronavirus-related hospitalizations in the state.
Expected to provide some relief is the recently passed $2 trillion CARES Act, which includes $100 billion in aid to the nation’s hospitals.
“Faced with this extraordinary circumstance, Connecticut”™s hospitals are laser-focused on providing the best patient care possible and are doing everything in our power to fight COVID-19,” the CHA said in a statement.
