Care New England eliminates 30+ positions, citing financial strain

PROVIDENCE, R.I. (WPRI) — Dozens of workers at Care New England have been laid off due to ongoing financial pressures amid Rhode Island’s “escalating” healthcare funding crisis.

Care New England announced the elimination of more than 30 leadership and non-clinical positions Tuesday, citing unprecedented economic challenges placing a continued strain on hospitals across the state.

According to CNE President and CEO Michael Wagner, the healthcare group has been “aggressively pursuing margin initiatives” in order to offset a $20 million budget deficit.

“Current financial conditions have made additional cost-saving measures unavoidable, but decisions like these that affect our workforce are especially difficult because they impact valued employees, colleagues, and the patients and communities we serve,” Wagner said in a press release.

He pointed to rising labor and supply costs, the increasing need to provide uncompensated care, low Medicaid reimbursement rates, as well as proposed federal changes that threaten uninsured Rhode Islanders as the primary reason for the system “restructuring.”

CNE said it will “work closely” with affected employees, offering resources and assistance.

Download the WPRI 12 and Pinpoint Weather 12 apps to get breaking news and weather alerts.

Watch 12 News Now on WPRI.com or with the free WPRI 12+ TV app.