USC health system laid off 89 employees

Among the layoffs are 24 manager positions, according to a notice filed by the University.

By ADAM YOUNG
The layoffs are part of an operation restructuring the University’s over $200 million operating deficit. (Joseph Chen / Daily Trojan file photo)

UPDATE (Aug. 7 3:40 p.m.): Eighty-nine employees were laid off Monday across USC’s health system, according to a notice filed with the state and city. The number of layoffs was first reported by Morning, Trojan

The layoffs will go into effect Oct. 4 and include employees from Keck Medicine of USC, USC Care Medical Group, Inc., Keck Medical Center of USC, Keck Hospital of USC and USC Norris Cancer Hospital. The layoffs will be permanent, according to the notice. Positions cut include 24 manager positions, seven supervisor technicians, seven sleep study technicians and many more across the USC health system. 

The notice did not include layoffs for the Keck School of Medicine of USC. On Tuesday, an email from Keck Medicine of USC and Keck school officials said the school will complete most layoffs this week.


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“[The University] is reducing and reorganizing its workforce due to cutbacks in funding and necessary budget reductions,” the notice read. “Consequently, the [University] has had to make the difficult decision to regretfully layoff and/or reduce hours for certain employees at the Employer’s Health Sciences Campus.” 

The University wrote in the notice that it anticipates more layoffs and hour reductions but did not clarify any dates or numbers to the Workforce Development Department. 

This is a developing story. Previous reporting follows below:

Layoffs have begun at Keck Medicine of USC and the Keck School of Medicine of USC, according to an email sent to staff on Tuesday. This follows interim President Beong-Soo Kim’s recent statement on the University’s poor financial situation. 

Keck Medicine and the Keck school wrote that they will complete most layoffs by the end of the week.

The email read that additional positions may be impacted because of the “cascading nature of workforce restructuring.” 

Steven Shapiro, senior vice president for health affairs, Rodney Hanners, CEO of Keck Medicine and Carolyn Meltzer, dean of the Keck school signed the email. 

“Despite our best efforts, we were unable to avoid layoffs,” the email read. “This tough decision is one of the several we are making to stabilize the finances of Keck Medicine and the Keck school, and to ensure economic stability.” 

USC did not provide a number of layoffs, when asked for the amount of staff that will be affected. 

The layoffs are part of an operation restructuring USC’s over $200 million operating deficit. Additional plans to address the deficit include selling unused properties, consolidating duplicative functions and adjusting compensation for the most highly compensated individuals.

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