B.w.h. time for change5/30/2023 ![]() We are on a journey to integrate our system and create efficiencies by combining clinical services across the organization. ![]() But we're also taking a sharper look at areas where we can be more efficient. ![]() Gandhi: Our financial performance is significantly worse than it has been in recent years. HL: What has Mass General Brigham's financial well-being been like over the course of the pandemic? And so our wage costs have increased significantly. And employees are making decisions to leave healthcare because of the challenges of the pandemic as well. When employees are seeing percent increases in the costs in their personal lives, we need to try to get at least as close to that as possible on the wage side. It's important to us to make sure that our wages keep pace with what our employees need. We're the largest employer in Massachusetts. About 60% to 65% of our cost structure is labor. It's compounded by the fact that now in a post-peak pandemic world, we have a greater emphasis on supply chain resiliency. But at a certain point, there is nothing we can do when individual supply costs go up faster than our revenue per unit of service. We do our best to make sure we're managing non-labor costs effectively through the way that we contract. One of the biggest challenges we're having is that our supply costs are growing faster than our revenues.
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