After addressing a large $6.6 million budget hole, a vital corporation in Illinois is currently implementing unannounced layoffs.
A total of forty-three workers were let go by Chicago’s prominent healthcare provider, Howard Brown Health, on Monday.
In a statement to staff, Interim CEO Robin Gay acknowledged the difficult circumstances and said, “We cannot continue to do that if we want to sustain our organization and continue to serve the patients who rely on us for the long term.”
Effective August 30, the layoffs, which account for 7% of the company’s workforce, will commence.
Howard Brown earned $1.6 million under the American Rescue Plan, a federal government project, which went toward funding many of the impacted positions.
This action comes after two clinics were forced to close in May owing to financial issues as well.
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Union representatives voiced their annoyance, pointing out that workers were unable to finish patient visits on Monday due to an unexpected lockout of all systems.
This episode is reminiscent of the 61 employee layoffs that occurred in January of last year, for which Howard Brown has not yet paid back wages.
In addition to running nine clinics and the Broadway Youth Center, Howard Brown Health also has three thrift shops.
Two other clinics, one at 2800 North Sheridan Road and the other at Thresholds South, 734 W. 47th St., are scheduled to close by early fall.