GREENFIELD – Hancock Regional Hospital has issued WARN notices indicating that 50 employees will soon lose their jobs, but they’re actually switching over to work for the hospital’s third party revenue management company.
WARN notices, named for the Worker Adjustment and Retraining Notification Act, protects workers by requiring most employers with 100 or more employees to provide notification 60 calendar days in advance of closings and mass layoffs.
Hancock Regional submitted a WARN notice to the Indiana Department of Workforce Development on Sept. 20, indicating that 50 employees would be impacted starting Nov. 4.
Jenn Wells, Assistant Vice President of Customer Experience and Brand Strategy for Hancock Regional, said all but one of those employees are actually switching over to work for Revology, a revenue cycle management (RCM) company the hospital has been using to manage its billing and coding over the past year.
“We are not laying off any of these associates. One of the employees affected was going to retire next year but decided to go ahead and take the opportunity to retire now,” said Wells, who said the remaining 49 employees will continue their roles as billers and coders for the hospital, just under a different employer.
Wells said the local hospital has been outsourcing such work to Revology since last fall, after the hospital struggled to find the manpower to cover the billing and coding in-house.
Steve Long, president and CEO of Hancock Health, which oversees the local hospital, said the move should ensure the smooth running of billing operations as the hospital’s service area and patient volume continues to grow.
“During the past year working with (Revology) we came to the realization that we need a full range of experts in this area, and that a purely local approach wouldn’t be enough to meet our future needs,” he said.
“Please know this decision was not made lightly, and is not an effort to reduce (full-time employees) or to save money,” Long continued.
“This is a strategic decision designed to help with the tremendous growth we are experiencing, and to be ready for even greater growth in the future. The ultimate goal is to create a more customer focused billing process that exceeds the expectations of our patients in a way that also allows our revenue cycle associates to be fulfilled in their work environment,” he said.
Long said the change will expose associates to cutting-edge technology, better virtual work environments, a broader network of industry experts and expanded opportunities for career growth.
“The transitions will have a positive benefit on the entire organization by allowing us to focus more closely on our core healthcare operations … and positions our team and organization for long-term success,” he said.
Long expressed his thanks to the employees who will be making the transition.
“We are grateful to each member of the revenue cycle team who made the decision to transition to Revology and ultimately remain working … on Hancock Health business,” he said.
Revology provides technology and expertise to hospitals, health systems and physician organizations.
The Iowa-based company markets itself as a company which helps healthcare providers identify the highest priority claims, which can help increase efficiency and returns.
Hancock Health’s WARN notice stated that employees impacted by the change would not receive separation benefits, but that COBRA benefits would be provided, allowing employees and their families to temporarily continue their health insurance through the hospital during the transition.
