The largest hospital network in Vermont and northern New York will phase out several positions from its senior leadership team before the end of the year, according to an email from the network’s interim executive officer Stephen Leffler.The decision follows dozens of layoffs, the resignation of its former president and CEO and months of increased pressure from hospital regulators for the network to reduce its administrative costs.Leffler, who is temporarily serving both as head of the health system and president of its largest hospital, said multiple executive positions in the network will be phased out in 2025 as part of an effort to create a “leaner” organization.That includes chief medical officer, chief operating officer and chief of staff. Leffler’s email said the network’s chief external Relations officer is also resigning as part of the transition.In-network hospital presidents at each location across Vermont and northern New York will now report directly to Leffler. Previously, hospital leadership reported to the UVMHN’s COO.Leffler also said he will establish a new network board made up of trustees from each facility. They will have voting power and be directly involved in the network’s budget planning for each of its hospitals.Earlier this year, the network laid off 68 staff roles and eliminated and another 69 vacant positions from its shared services team. Combined with other reductions, the network said the cuts were expected to save $180 million. It’s unclear how much the senior-level cuts will save UVM Health annually, but according to redacted filings posted by the Green Mountain Care Board, each executive was paid between $400,000 to $1.3 million in 2023.Despite the overhaul at the top, Leffler said the changes support the network’s survival.”Every health care partner, team and shared service in our health system plays a vital role, and we are stronger because we work as one,” he wrote. “These changes are about better supporting you and the work you do as a care provider, so we can stay focused on what matters most: our patients, our people and our mission.”Leffler said he’d continue to communicate with network staff as it works to restructure.
The largest hospital network in Vermont and northern New York will phase out several positions from its senior leadership team before the end of the year, according to an email from the network’s interim executive officer Stephen Leffler.
The decision follows dozens of layoffs, the resignation of its former president and CEO and months of increased pressure from hospital regulators for the network to reduce its administrative costs.
Leffler, who is temporarily serving both as head of the health system and president of its largest hospital, said multiple executive positions in the network will be phased out in 2025 as part of an effort to create a “leaner” organization.
That includes chief medical officer, chief operating officer and chief of staff. Leffler’s email said the network’s chief external Relations officer is also resigning as part of the transition.
In-network hospital presidents at each location across Vermont and northern New York will now report directly to Leffler. Previously, hospital leadership reported to the UVMHN’s COO.
Leffler also said he will establish a new network board made up of trustees from each facility. They will have voting power and be directly involved in the network’s budget planning for each of its hospitals.
Earlier this year, the network laid off 68 staff roles and eliminated and another 69 vacant positions from its shared services team. Combined with other reductions, the network said the cuts were expected to save $180 million.
It’s unclear how much the senior-level cuts will save UVM Health annually, but according to redacted filings posted by the Green Mountain Care Board, each executive was paid between $400,000 to $1.3 million in 2023.
Despite the overhaul at the top, Leffler said the changes support the network’s survival.
“Every health care partner, team and shared service in our health system plays a vital role, and we are stronger because we work as one,” he wrote. “These changes are about better supporting you and the work you do as a care provider, so we can stay focused on what matters most: our patients, our people and our mission.”
Leffler said he’d continue to communicate with network staff as it works to restructure.
