KSB Hospital laying off 20 workers due to increased costs

DIXON – KSB Hospital is laying off 20 workers, citing financial headwinds that have been impacting the industry since the beginnings of the coronavirus pandemic.

The hospital will reduce its workforce during the next two weeks and leave other positions unfilled in order to “reduce expenses in the face of rising labor and supply costs along with reductions in payments by insurance plans,” according to a KSB news release.

“In the face of these challenges, we have worked diligently to find other ways to reduce our operating costs and have waited as long as possible before reducing our headcount,” KSB President and CEO Dave Schreiner said. “Now we need to work proactively in order to protect the long term sustainability of the Hospital. At the same time, we recognize and regret the impact this will have on our colleagues and their families. We are committed to helping them through this transition in whatever way we can.”

The employees being laid off largely work in administrative support areas and not direct patient care, according to the hospital.

These changes will help ensure that we continue caring for the years ahead.”

—  KSB Hospital President and CEO Dave Schreiner

As the largest private employer in Lee County, KSB has 980 full- and part-time positions at the hospital and medical offices. The staff reductions represent about 2% of the workforce.

Affected employees will receive severance packages, career counseling and assistance in locating alternative employment opportunities.

“For the last 126 years, KSB has been here for the community. Our mission remains to restore, maintain, and enhance health by providing superior care now and in the future,” Schreiner said. “These changes will help ensure that we continue caring for the years ahead.”