Losses in Clarian Health's investment portfolio will force cutting 5 percent from next year's operating expenses, a spokesman for Indianapolis' largest hospital system said today.
The cuts will involve salaried employees, but it's too early in the 2009 budgeting process to project the number of lay-offs or which positions will be targeted, said spokesman James Wide.
The investment losses "just puts that extra pressure on our operation," Wide said.
Lay-offs will begin early next year, he said.
Other measures will involve shuffling remaining workers to some vacant positions when necessary. However, mission-critical positions will continue to be filled.
Hospitals are not alone in being slammed by plummeting investments. Carmel-based Conseco Inc. and Indianapolis-based WellPoint Inc., both insurance companies, also have sustained heavy losses.