STURGIS, MI (WTVB) – Sturgis Hospital has announced a reorganization plan that includes the closing of its obstetric services. In addition, hospice services will no longer be provided and the Oncology Treatment Center will also be closed. The move will reportedly result in the elimination of 60 jobs.
The reorganization will be implemented December 3, 2018 and it includes a reduction of inpatient medical and surgical services. There will also be Emergency Room staff adjustments.
In addition, Sturgis Hospital is closing non-profitable departments including its Wound Clinic, Home Health, Pain Clinic and an urgent care center in Constantine.
Sturgis Hospital President and Chief Executive Officer Robert LaBarge said in a statement posted on the hospital’s Facebook page, “We have done a substantial amount of work over the past year to reduce costs and weather the changing landscape of health care. Health care is continually changing. The old ways don’t work for a small hospital any longer, so we have to embrace new ways of doing things. It’s time to restructure our operations in a way that is consistent with what we believe the future of health care will be for rural communities.”
The changes mean that hospital will focus on outpatient services which already make up at least 80 percent of their activity.
LaBarge says the goal is to keep the most in-demand services available locally and partner with other health systems to supply inpatient and specialty medical services.
The Hospital stated they have faced significant financial challenges over the past 18 months as reimbursements from Medicare, Medicaid and other insurers have not kept pace with the increase in costs and decreases in volumes experienced by the Hospital.
