Harrington reduces staff after slower fiscal year

By Patriot staff

REGION – Harrington HealthCare System this week laid off 12 people, reduced hours for a dozen others and eliminated nine vacant positions, after a “challenging” fiscal year 2012 that ended September 30.

President and CEO Edward H. Moore said the staff reductions would not affect the quality of patient care.

He gave a perspective on the decision, noting that Harrington grew quickly and almost doubled in size between 2007 and 2011 and now has 1300 employees. In fact, he said, “The Worcester Business Journal has us at the top of the list of the fastest-growing non-profits in Central Massachusetts, which will be published in an upcoming issue.”

Harrington HealthCare System has expanded its operations in Webster and Charlton in recent years and is continuing to expand in other areas, including Spencer.  It has also just announced a new program for seniors with the Fallon Senior Plan, which will bring more patients into the system.

“In 2012 the world started to change,” said Mr. Moore, explaining the need to reduce staff. “The economy has hurt people, and when they are asked to make higher and higher co-pays, they avoid getting care. And Medicare reimbursement rates went down.”

Harrington is not unique in experiencing this, Mr. Moore noted. Other medical facilities in the state have had to reduce staff as well. “We've been able to shield ourselves with growth, but the growth has slowed.”

He compared it to what it's like at home, when your expenses exceed your income. You can't keep losing money, you have to do something to correct it. “It would be remiss of me to ignore this. It's better to deal with it immediately. That being said, I'm happy to say that Harrington is in good financial shape,  positioned well for the future, with a strong balance sheet and $46 million in reserves.”