Tuesday, June 27, 2006
Applications, due July 7, will be judged on a case-by-case basis.
By WILLIAM K. ALCORN
VINDICATOR STAFF WRITER
YOUNGSTOWN -- Forum Health is offering a Voluntary Reduction Program under which eligible employees may resign or reduce their employment status to part time or per diem.
The incentives offered to employees to participate in the VRP are the ability to keep their health and basic life insurance for up to a year for those whose work status is reduced. There will be career coaching seminars for those who resign.
The majority of Forum Health's 5,000 employees were sent notification letters Friday, said David Swift, vice president of Forum's Human Resources Department.
Swift said it is difficult to estimate how many employees might be interested in applying for VRP.
The deadline for applying to resign or for a reduction in status is 4:30 p.m. July 7, hospital officials said.
The VRP is a limited opportunity and was created as an effort to help reduce costs and improve Forum Health's viability for the future as a part of its ongoing financial turnaround efforts, Swift said.
Earlier this year, Forum officials estimated the company's 2006 operating deficit at $60 million and said a radical restructuring, which includes wage and benefits concessions from its employees, was necessary.
Union officials have said they think Forum's deficit estimate is too high.
The options
Approvals and denials for requests to resign or reduce employment status will be based on individual department and operational needs.
Union leadership will be involved in the approval process when unionized employees are involved, Swift said.
The VRP includes two options: resignation, or reduction of status from full to part time or part time to per diem.
The Service Employees International Union District 1199, which represents about 1,400 of Forum 5,000 employees, refused to comment Monday on the VRP proposal. A spokeswoman said a statement would probably be released today.
A call to the Youngstown General Duty Nurse Association, which represents nurses at Forum Health Northside Medical Center in Youngstown, was not immediately returned.
alcorn@vindy.com