Swedish says new hospital plans on track despite layoffs

A spokesperson for Swedish Medical Center said this week said that the new Issaquah Highlands hospital project would still go ahead, despite the company being forced to layoff workers at its other sites to reduce operating costs.

A spokesperson for Swedish Medical Center said this week said that the new Issaquah Highlands hospital project would still go ahead, despite the company being forced to layoff workers at its other sites to reduce operating costs.

Last week the company announced that it will be forced to lay off about 200 of its 7,000 employees.

Swedish administrators said that a need to reduce operating costs was the motivation behind the layoffs.

The announcement of the layoffs raised doubts in the community as to the financial health of the hospital in these uncertain economic times.

Swedish Media Relations Manager Ed Boyle said today that “the layoffs have not directly impacted the existing Swedish/Issaquah operations nor the timeline or planning for the Swedish/Issaquah hospital project.”

The positions being eliminated in the recent cuts include four vice presidents, 22 directors and an unspecified number of managers and support staff, including nonpracticing medical managers.

Physicians, nurses, nurse managers and patient-support personnel are not likely to be effected.

Promised bonuses aren’t being paid, and travel has been restricted.

It has not been made clear if those recently laid-off staff will be guaranteed positions at the new hospital, which is scheduled to open in stages between 2010 and 2012.

The layoffs are expected to save about $20 million by 2010.