Kaiser to cut over 70 workers in second IT layoff
CALIFORNIA, UNITED STATES — Kaiser Foundation Hospitals is set to cut its labor force by more than 70 workers, primarily in the information technology division.
The layoffs would affect 49 workers at Pleasanton, one in Oakland, two in Stockton, and 20 from other locations, mainly in Pasadena. Kaiser said that the positions are mainly IT roles and do not involve direct patient care, as reported by The San Francisco Chronicle.
The affected employees were officially notified on Feb. 26. The layoffs will take effect within 60 days. Kaiser clarified that no locations are shutting down.
This marks Kaiser’s second round of IT layoffs. In December 2023, the firm cut 115 positions, primarily from IT in Northern California. In October, Kaiser reduced its headcount by 49 in the Bay Area and Southern California.
The October layoffs came after a three-day strike by unionized Kaiser healthcare workers from October 4 to 7.
According to Reuters, more than 75,000 Kaiser healthcare workers across California, Oregon, Washington, Colorado, Virginia, and Washington DC demanded a resolution to address the institution’s workforce shortage. The workers also called for a salary raise and an improvement in medical plans.
A tight labor market coupled with the expiry of union contrasts and rising living costs have pushed workers from various industries to conduct strikes and protests.
Meanwhile, several healthcare institutions have opted to outsource their IT workers instead of laying them off.
For example, Franciscan Alliance sent its 61 IT staff R4 Solutions, a California-based managed services provider specializing in healthcare information services.
Care New England also moved nearly 160 employees to tech firm Kyndryl, a spinoff company of IBM.
