Why Hospitals Are Laying People Off : Planet Money Hospitals are ramping up and gathering supplies to deal with a deluge of coronavirus patients. At the same time, revenues are down. All of this means hospitals across the U.S. are laying off workers.
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Why Hospitals Are Laying People Off

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Why Hospitals Are Laying People Off

Why Hospitals Are Laying People Off

Why Hospitals Are Laying People Off

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Matthew Horwood/Getty Images
CARDIFF, WALES - APRIL 09: Hospital beds are moved into the Dragon's Heart hospital on April 9, 2020, in Cardiff, Wales. (Photo by Matthew Horwood/Getty Images)
Matthew Horwood/Getty Images

Coronavirus infections are expected to peak in the United States this week. As a result, hospitals all over America are reconfiguring to cope with an expected deluge of patients. They may get busier in the next few weeks, but that doesn't mean they're going to be making more money.

Quite the reverse, in fact. Because of the need to shift resources to COVID-19 treatment bays, hospitals have had to close other departments. That means postponing or canceling non-critical, elective surgeries like knee replacements and procedures like colonoscopies, which generate the bulk of revenues for hospitals. So, in many cases, hospitals are losing money. As a result, they're laying off staff. Sometimes thousands of staff. Today we talk with a hospital administrator about the challenges hospitals are facing right now, and how they're being forced to respond.

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