Quorum Health layoffs, on the record
Every job cut, severance charge and restructuring Quorum Health reported in its annual reports, 2017 to 2019, quoted from the filings. Headcount went from approximately 13,000 to approximately 9,200.
Headcount, as reported
| Annual report | Employees | As of |
|---|---|---|
| 10-K for 2017 | approximately 13,000 | December 31, 2017 |
| 10-K for 2018 | approximately 11,600 | December 31, 2018 |
| 10-K for 2019 | approximately 9,200 | December 31, 2019 |
Job cuts, severance and restructuring
Our summaryThe filing notes that planned divestiture and closure activities may bring additional restructuring charges and separation of personnel, but it does not report a specific layoff or severance program.
Word for word“Those risks include diversion of management attention from improving existing operations; additional restructuring charges and the related impact from separating personnel, renegotiating contracts, and restructuring financial and other systems; adverse effects on existing business relationships with patients and third-party payors; and the potential that the collectability of any patient accounts receivable retained from any divested hospital may be adversely impacted.” 10-K for 2017
Our summaryCompany reported post-spin headcount reductions and executive severance costs for 2018 in its adjusted EBITDA reconciliation.
Word for word“Post-spin headcount reductions and executive severance 9,355 2,543 1,617 — — Change in estimate related to collectability of patient accounts receivable — 21,000 22,799 — —” 10-K for 2018
Our summaryCompany recorded severance for headcount reductions within same-facility salaries and benefits increases.
Word for word“This decline was offset by an increase in same-facility salaries and benefits of $24.1 million, of which $12.4 million related to discretionary benefits, $6.8 million related to severance for headcount reductions and the remainder primarily related to merit increases at our facilities.” 10-K for 2018
Our summaryCompany closed Affinity, with closure costs that included severance and salary continuation costs.
Word for word“Included in the pre-tax loss for the twelve months ended December 31, 2018 was $18.7 million of closure costs related to the closure of Affinity which includes $8.1 million of severance and salary continuation costs, $5.0 million in losses associated with the disposal of assets that have no future value to us and $5.6 million of other costs and fees related to termination of contracts and other miscellaneous costs.” 10-K for 2018
Our summaryCompany reported severance costs at its corporate office within general and administrative costs.
Word for word“General and administrative costs of the Company include severance costs at the corporate office of $7.8 million, $0.6 million and $0.1 million as of December 31, 2018, 2017 and 2016, respectively.” 10-K for 2018
Our summaryCompany recorded losses on closure of hospitals, which include severance costs.
Word for word“Loss on closure of hospitals, net relates to costs incurred by the Company for closure of hospitals and outpatient facilities, and includes severance, loss on disposal of property and equipment, write-down of assets, legal costs and other costs incurred by the Company related to the closure.” 10-K for 2018
Our summaryCompany reported post-spin headcount reductions and executive severance costs in the fourth quarter of 2018.
Word for word“Post-spin headcount reductions and executive severance 1,898 4,068 1,722 1,667 — 1,693 850 — Change in estimate related to collectability of patient accounts receivable — — — — — — — 21,000 Adjusted EBITDA 18,420 36,323 34,142 37,510 26,142 34,430 32,268 49,005 Negative EBITDA of divested hospitals 8,646 3,994 8,651 2,941 4,694 9,784 6,032 14,858 Adjusted EBITDA, Adjusted for Divestitures $ 27,066 $ 40,317 $ 42,793 $ 40,451 $ 30,836 $ 44,214 $ 38,300 $ 63,863 Liquidity and Capital Resources Financial Outlook Our primary sources of liquidity are cash flows from operations, proceeds from divestitures and available borrowing capacity under our revolving credit facilities.” 10-K for 2018
Our summaryThe company closed the MetroSouth hospital in 2019 and recorded closure costs that included severance and salary continuation costs.
Word for word“Included in the pre-tax loss for the year ended December 31, 2019 was $24.9 million of closure costs related to the closure of MetroSouth.” 10-K for 2019
Our summaryThe company filed for Chapter 11 on April 7, 2020 to carry out a financial restructuring of the company.
Word for word“On April 7, 2020, Quorum Health Corporation and certain of its direct and indirect subsidiaries (collectively, the “Debtors”) filed voluntary petitions for relief (the “Chapter 11 Cases”) under Chapter 11 of the United States Bankruptcy Code (the “Bankruptcy Code”) with the Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”) in order to implement the financial restructuring of the Company.” 10-K for 2019
| Fiscal year ended | Severance costs |
|---|---|
| 2016-12-31 | $1.6 million |
| 2017-12-31 | $2.5 million |
| 2018-12-31 | $9.4 million |
| 2019-12-31 | $3 million |
Quorum Health filed 5 restructuring notices (Form 8-K, Item 2.05) since 2016. This page shows what the company reported to the SEC, not news reports or state layoff notices.
Read from Quorum Health’s annual reports (10-K for 2019, 10-K for 2018, 10-K for 2017) and the financial data it files with the SEC, as of 2020-04-10. Every quotation is word for word from the filing linked beside it; how these pages are built and checked. The full record is in its company data sheet.