PULLMAN, Wash. - Citing financial challenges from state-mandated regulations during the COVID-19 pandemic, Pullman Regional Hospital will be implementing a 60-day, 25% pay reduction for all hourly and salary employees next week.
Pullman Regional says regulations like stopping elective surgeries and limiting outpatient procedures have caused decreases in volumes and some services to be shut down entirely, creating a critical time for the hospital to implement its COVID-19 Financial Management Plan.
PRH told staff Wednesday that it remains committed to not making layoffs, but will be implementing a 25-percent reduction in pay for all hourly and salary employees over the next 60 days, in efforts to make $1 million in cash available immediately for operations. The reductions will begin during the April 11, 2020, pay period.
Other measures being taken include unpaid furloughs, capping organizational overtime, limiting paid time off and no cash reimbursement for paid leave time not taken.
PRH says other small, critical-access hospitals in the state have less than 30 days cash on hand and are in danger of closing. PRH says it currently has 64 days cash on hand, working on a goal to avoid falling below 30 days cash.
PRH is seeking sources of government funding through FEMA, the CAREs Act and Medicare Advance Payment, and has also started a COVID-19 Fund with its Foundation. PRH says a philanthropic effort has raised over $330,000 so far.
"The Foundation Board is working with the hospital to provide an additional $500,000 in unrestricted cash," PRH said in a release. "Those wanting to donate online, can go to www.pullmanregional.org and click on Covid-19 Fund or contact the Foundation at (509) 332-2046."