Avera has furloughed or reduced hours for over 2000 employees company wide and some top leaders of the organization are taking pay cuts, in the face of serious financial challenges due to the COVID-19 pandemic.
President and CEO of Avera Health Bob Sutton says approximately 650 employees will be furloughed and approximately 1,500 others will have their hours reduced. He says many functions of Avera have been reduced by half or more, including clinic visits and outpatient surgeries. He says top leaders of our organization are sharing in this financial impact by taking pay reductions. Physicians are also participating.
Sutton says day-to-day financial pressures must be balanced by expense reductions. At the same time, he says Avera is preparing for the predicted surge of COVID-19 patients in South Dakota which is currently expected in May and June. He says team leaders are considering how clinical and non-clinical employees who are furloughed can be reassigned.
Sutton says previously announced employee assurances including stability payments and assistance with health insurance premiums are still being provided. He says they will continually be evaluating finances and workforce needs and hope to call employees back as soon as possible.
Avera has approximately 19,000 employees across a five-state region.
