Georgia health system: Health reform prompts layoffs

MACON, Ga. - A Georgia health system is laying off about 50 employees, citing losses it anticipates in response to health care reform.

The Telegraph reports that Central Georgia Health System is the parent company of The Medical Center of Central Georgia.

Company officials say the layoffs are part of a plan to reduce the system's fiscal 2014 budget to account for potential loss of reimbursements due to health care reform.

Chief Financial Officer Rhonda Perry said Thursday that Central Georgia Health System anticipates potentially $30 million in losses because of reductions in reimbursement of Medicaid.

Before the cuts, the hospital was on track to lose about $20 million in fiscal 2013. Perry said that deficit will now be about $6 million, because of the layoffs and other budget-cutting changes.

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