Dive Brief:
The University of New Mexico Hospital slashed 53 executive positions as it weathers continued economic pressures and stares down possible changes in federal funding, a spokesperson for the academic medical center confirmed on Friday.
The Albuquerque, New Mexico-based provider said the job cuts hit administrative, managerial and executive roles. No union or frontline positions were impacted.
UNM Hospital said it would also implement cost savings initiatives alongside the job cuts, including reviewing contract labor spending. “By taking these steps now, UNM Hospital is positioning itself to balance its current and future budgets,” the spokesperson said.
Dive Insight:
UNM Hospital has struggled financially in recent years, reporting an operating loss in 2024. A spokesperson said the health system, like many, has struggled after the COVID-19 pandemic with financial challenges, despite receiving state and federal assistance.
The hospital said it was acting now to ensure it could be as “prepared as possible” for further headwinds, including changes to federal funding.
The academic health system joins a growing number of providers that are cutting their workforces as anxieties swirl about how federal policy changes from the Trump administration might impact hospitals.
Health systems are contending with possible cuts to Medicaid and valuable medical research dollars, as well as the onset of tariffs.
Penn Medicine, Yale New Haven Health, Mass General Brigham, Jefferson Health and Lehigh Valley Health Network have let workers go in recent months or consolidated their leadership teams, citing operational challenges.
This week, Providence said it would freeze hiring amid a “perfect storm” of headwinds. In a letter to staff, CEO Erik Wexler said the nonprofit health system would continue to lobby lawmakers to protect healthcare funds.
