Healthcare organizations have long used workforce adjustments to respond to changing market dynamics, regulatory pressures and the need to refocus on core patient care. In this blog, we detail the healthcare layoffs in 2025, examining the underlying factors and potential ramifications for the industry.
In 2024, major players like CVS Health and Bio‑Rad Laboratories made headlines by trimming their staff. CVS Health reportedly cut over 1,000 jobs, while Bio‑Rad slashed more than 350 positions in response to financial pressures, which included a net loss of $1.84 billion.
These sweeping changes underscored the urgency for healthcare systems to realign their resources and streamline operations. Rising operating expenses — spurred by supply chain disruptions, increased labor costs and regulatory pressures — have forced many healthcare organizations to cut staff in order to remain financially sustainable.
As we move into 2025, new announcements signal that organizations seek to create leaner, more agile operations capable of meeting the challenges of today’s healthcare environment.
HealthCare Layoffs in 2025: A Closer Look
Federal Health Agencies
HHS Layoffs 2025
HHS is cutting 10,000 full-time positions as part of a major restructuring, reducing its workforce from 82,000 to 62,000. Key agency cuts include 3,500 at the FDA, 2,400 at the CDC, 1,200 at the NIH and 300 at CMS.
The US Department of Veterans Affairs (VA) Layoffs 2025
The Department of Veterans Affairs dismissed over 1,000 probationary employees, impacting clinical and research programs in areas such as oncology and mental health. More recently, they are facing broader staffing reductions, with national reports warning of potentially thousands of job losses. Probationary staff and administrative roles appear to be at the greatest risk.
As of June 2025, the VA has paused plans to lay off thousands of workers in August, following political and union pushback against proposed cuts. The VA instead committed to shedding nearly 30,000 jobs via attrition, retirements and deferred resignations.
Virginia Department of Health Layoffs 2025
The Virginia Department of Health began layoffs affecting community health workers, nurses and epidemiologists after federal COVID funding was slashed by $11.4 billion.
Minnesota Department of Health Layoffs 2025
The Minnesota Department of Health terminated several COVID-related federal grants, resulting in approximately 200 layoffs.
NIOSH Layoffs 2025
The National Institute for Occupational Safety and Health (NIOSH) cut almost 200 jobs at its Morgantown, WV site — part of 873 layoffs nationwide — impacting programs in miner health, PPE approval and firefighter cancer tracking. Some roles were briefly reinstated, but most terminations are set to finalize by July 2025.
Major Hospitals & Health Systems
Cleveland Clinic Layoffs 2025
Cleveland Clinic, a globally renowned academic medical center and leader in clinical innovation, is eliminating 114 jobs, according to a Fox8 report.
Despite these healthcare layoffs, the organization continues to hire in critical areas. Cleveland Clinica remains committed to expanding its impact by improving primary care access in Mahoning Valley and advancing education in quantum computing through a strategic partnership with Miami University.
Main Line Health Layoffs 2025
Main Line Health offers integrated healthcare services that focus on delivering high-quality, patient-centered care across its network.
According to MSN, Main Line Health is laying off nearly 200 nonclinical staff — approximately 15% of its workforce — to streamline administrative functions and reduce costs. This measure aims to enhance operational efficiency while maintaining the quality of patient care in its core clinical areas.
Advocate Health/Walgreens Partnership Layoffs 2025
NBC Chicago reported that Advocate Health, in collaboration with Walgreens, is set to close 47 outpatient clinics in Illinois as both organizations work together to optimize operations and reduce costs.
As one of the nation’s largest health systems, Advocate Health is integrating hospital and retail pharmacy services to create a more cohesive patient service model.
Earlier in 2024, the company made headlines by canceling a substantial debt at a North Carolina hospital, reinforcing its commitment to financial stability and reinvestment in patient care.
Mass General Brigham Layoffs 2025
Boston 25 News reported that Mass General Brigham, one of Massachusetts’ largest employers, plans to lay off hundreds of employees over the next two months as part of a broader restructuring to address a $250 million budget deficit.
With layoffs affecting management and administrative roles across 12 hospitals, this initiative aims to reduce $200 million in salary and benefit expenses while ensuring that frontline patient care remains robust.
Endeavor Health Layoffs 2025
According to a recent NCH report on Patch, Endeavor Health will end inpatient psychiatric services at Northwest Community Hospital in Arlington Heights on April 11, eliminating 100 jobs. The move comes amid significant cost pressures and a shift toward outpatient, telehealth care — while affected employees may be considered for other roles within the system.
Jefferson Health Layoffs 2025
Jefferson Health — a comprehensive healthcare system providing integrated patient care, research and education — is laying off 171 back-office employees, according to The Philadelphia Inquirer. The decision is part of broader cost-cutting measures aimed at streamlining administrative functions as the organization adapts to evolving financial pressures.
The ongoing workforce adjustments in 2025 are a clear sign that healthcare organizations are committed to reshaping their operations amid economic and regulatory challenges.
As these changes take effect, stakeholders across the healthcare ecosystem will need to stay informed and adapt to the evolving environment — a shift that began in 2024 and continues into 2025.
Kindred Hospital Bay Area-Tampa Layoffs 2025
Kindred Hospital Bay Area-Tampa closed as part of a consolidation effort that merged three hospitals into two. This decision resulted in the elimination of 143 positions between February and March 2025, reflecting the organization’s broader strategy to streamline operations.
Corewell Health Layoffs 2025
Corewell Health has executed a reduction of approximately 160 to 190 nonclinical roles in response to escalating operating costs. This measure is aimed at streamlining administrative functions while ensuring that the focus on patient care remains unchanged.
Queen’s Health Systems Layoffs 2025
Queen’s Health Systems reduced its workforce by approximately 100 positions — about 1% of its overall staff — to trim operational costs. The move is designed to improve efficiency while continuing to maintain high-quality patient care.
Baystate Health Layoffs 2025
Baystate Health eliminated 98 corporate positions as part of a $225 million transformation plan. This restructuring effort is intended to streamline operations and fortify the organization’s financial resilience.
Kaiser Permanente Layoffs 2025
Kaiser Permanente has announced plans to eliminate 64 positions by April 25, 2025, as part of broader cost-control measures aimed at sustaining long-term operational efficiency.
More recently, Kaiser Foundation Hospitals is cutting dozens of positions in the Bay Area in the latest round of its statewide cost-cutting and efficiency measures.
Mass General Brigham Layoffs 2025
Mass General Brigham is planning a significant reduction in its workforce by cutting hundreds of jobs, primarily within management and administrative roles. This move is designed to address a projected $250 million budget gap and is expected to roll out over the coming months.
Christus Health Layoffs 2025
Christus Health is set to eliminate 479 positions due to the planned closure of the Christus Santa Rosa Medical Center. The organization anticipates that the facility consolidation will take effect by April 25, 2025, as part of its restructuring strategy.
Homer G. Phillips Hospital Layoffs 2025
Homer G. Phillips Hospital is preparing to layoff an undisclosed number of positions as it temporarily suspends operations due to a combination of operational challenges — including a critical blood supply shortage — which has forced it to reassess its staffing levels.
United Medical Center Layoffs 2025
United Medical Center, the only public hospital in Washington, DC, is scheduled for a full shutdown, resulting in the elimination of 485 positions by April 15, 2025. This drastic measure reflects broader financial and operational challenges faced by public healthcare institutions.
MaineGeneral Health Layoffs 2025
MaineGeneral Health in Augusta announced plans to lay off about 100 full-time employees due to financial pressures from lower reimbursements.
Johns Hopkins Medicine Layoffs 2025
Johns Hopkins Medicine plans to terminate over 2,000 employees across clinical and administrative areas as part of a restructuring effort.
Valley Medical Center Layoffs 2025
Valley Medical Center in Renton, WA, laid off 101 non-union employees after federal Medicaid reimbursements ended, triggering an $80 million to $100 million annual shortfall.
East Ohio Regional Hospital Layoffs 2025
East Ohio Regional Hospital has initiated voluntary layoffs to balance operational costs amid financial challenges.
Insight Trumbull Layoffs 2025
Insight Trumbull in Ohio announced forthcoming layoffs as part of a strategic realignment; specific numbers were not disclosed.
Dimock Center Layoffs 2025
Boston’s Dimock Center implemented a hiring freeze and staff reductions due to economic pressures; exact figures were not provided.
Yale New Haven Health Layoffs 2025
Yale New Haven Health’s Northeast Medical Group is cutting 150 jobs across Connecticut and Rhode Island in cost-cutting measures.
Springfield Clinic Layoffs 2025
Springfield Clinic in Illinois announced layoffs amid mounting financial challenges; the precise number of affected employees was not specified.
Waco Family Medicine Layoffs 2025
Waco Family Medicine in Texas is closing multiple clinics and laying off staff members due to financial constraints; detailed numbers were not provided.
Christus Health Layoffs 2025
Christus Health is closing its 378-bed Santa Rosa Medical Center hospital in San Antonio on April 25, resulting in layoffs for 479 employees.
Mount Sinai Beth Israel Layoffs 2025
Mount Sinai Beth Israel in New York City planned to close on March 26, 2025, after years of losses, potentially affecting hundreds of employees.
Penn Medicine Layoffs 2025
Penn Medicine is eliminating approximately 300 positions across clinical and non-clinical roles to streamline its operations.
Mount Sinai Beth Israel Hospital Closure 2025
Mount Sinai Beth Israel officially closed on April 9, 2025. Operating at just 20% capacity, the hospital’s closure affected both staff and patients across Lower Manhattan, marking a significant shift in New York City’s healthcare landscape.
Heritage Valley Kennedy Hospital Closure 2025
Heritage Valley Health System will close Kennedy Hospital in Kennedy Township, PA, on June 30, 2025. The move, prompted by reduced patient volumes and insurance reimbursements, will impact services including emergency and behavioral health care. Layoff numbers were not disclosed.
Northern Light Inland Hospital Closure 2025
Inland Hospital in Waterville, Maine, is closing, resulting in 309 direct layoffs and affecting more than 500 contracted workers in ancillary services. The shutdown is part of a broader restructuring by Northern Light Health in response to prolonged financial challenges.
Orlando Health Rockledge Hospital Closure 2025
Orlando Health closed Rockledge Hospital and four outpatient departments as of April 22, 2025, leading to 940 layoffs. The hospital, previously owned by Steward Health, was deemed too costly to renovate. Affected employees have been offered positions at other Orlando Health facilities.
Prospect Medical Holdings/Crozer Health Layoffs 2025
Prospect Medical Holdings is closing multiple hospitals in Pennsylvania, including Crozer-Chester Medical Center and Taylor Hospital, resulting in the layoff of 2,651 employees across eight facilities. The decision follows a Chapter 11 bankruptcy filing and the company’s inability to secure buyers for the affected locations.
New York-Presbyterian Layoffs 2025
New York-Presbyterian is cutting 2% of its workforce as part of a network-wide restructuring. The layoffs come amid increasing pressure to balance clinical staffing needs with rising labor and equipment costs across its Manhattan-based operations.
Norman Regional Layoffs 2025
Norman Regional Health System has begun laying off employees across departments, due to budget shortfalls. Reports indicate the affected roles include administrative and support staff, though exact numbers were not disclosed.
Ascension Borgess Layoffs 2025
Ascension Borgess is laying off 244 employees following its merger with Beacon Health System. Nurses have called for greater transparency, citing concerns over staffing levels and the need for retention to maintain care quality during the transition.
Carle Health – Health Alliance Layoffs 2025
Carle Health is terminating over 600 employees after discontinuing its Health Alliance Medicare Advantage plans. The exit affects more than 33,000 enrollees and reflects a larger trend of regional health systems withdrawing from complex Medicare contracting arrangements.
PeaceHealth Layoffs 2025
PeaceHealth announced 251 job cuts to reduce financial strain across its Pacific Northwest hospitals. The layoffs came just ahead of a tentative agreement with nurses in Bellingham, who had been pushing for stronger staffing ratios and wage protections.
Valley Medical Center Layoffs and Closures 2025
Valley Medical Center in Renton, WA, is closing five clinics and ending inpatient care in its Northwest Pavilion due to a $25 million operating loss and reimbursement shortfalls. The impacted clinics include Kent Primary Care, Maternal Fetal Medicine, Pediatric Neurology & Sleep Medicine, Occupational Health Services and Renton Landing Urgent Care. The hospital is also consolidating two Covington clinics and transitioning part-time roles to full-time positions, following earlier layoffs of 101 non-union staff.
Long Beach Memorial Layoffs 2025
Long Beach Memorial is laying off 175 nurses, triggering backlash from unionized workers. The layoffs were followed by a coordinated strike, with nurses citing unsafe staffing and lack of notice as critical patient care risks.
Long Beach Memorial recently initiated another round of layoffs, affecting 33 workers, as part of broader efforts to control spending and realign staff.
MemorialCare Nurse Layoffs 2025
MemorialCare’s Long Beach Medical Center and Miller Children’s & Women’s Hospital announced 115 layoffs in May, following 60 job cuts in March, citing a $40 million budget shortfall. The reductions affected nurses, technicians and administrative staff, with service consolidations including pediatric units and the closure of a blood donor center. In response, nurses held a one-day strike on May 22 over staffing, safety and contract concerns, which was followed by a four-day lockout by hospital management.
Main Line Health Layoffs 2025
Main Line Health has eliminated nearly 200 nonclinical positions, representing about 15% of its workforce. The organization has simultaneously been monitoring Crozer Health’s potential bankruptcy, which could impact care delivery partnerships in the region.
Suburban Community Hospital Layoffs 2025
Suburban Community Hospital is laying off more than 100 nurses as it transitions its ER to a behavioral health specialty model. The closure of emergency services reflects a reconfiguration aimed at focusing on inpatient psychiatric care amid regional service gaps.
Providence Community Health Centers Layoffs 2025
Providence Community Health Centers laid off 70 employees in administrative roles, citing financial strain due to reduced federal funding and increased operational costs as the primary reasons. The layoffs primarily affected administrative and case management staff, including roles that support vulnerable populations such as seniors and non-English-speaking patients.
Catholic Health Layoffs 2025
Catholic Health System has made workforce adjustments in response to legal and cybersecurity challenges. Recent events looming over the company include a $3.3 million Medicare settlement and a data breach impacting 480,000 patients, both of which are straining system-wide administrative functions.
Eagle Healthcare Layoffs 2025
Eagle Healthcare laid off approximately 50 employees at its Tampa and Fort Lauderdale locations. Cuts included administrative and some clinical staff.
Butler County Healthcare Layoffs 2025
Healthcare layoffs in Butler County, Ohio, affected 116 workers across several health systems, targeting intake, billing and support departments.
Phoenix VA Layoffs 2025 (Proposed)
Up to 800 layoffs may occur at the Phoenix VA, according to congressional reports. The potential cuts have drawn scrutiny regarding impacts on veteran care.
UCSF Health Layoffs 2025
UCSF Health is laying off 200 employees, mostly in administrative roles, as part of a restructuring effort to improve operational efficiency and reduce costs amid post-pandemic financial pressures. The layoffs sparked sharp criticism from staff and unions, highlighted impacts on understaffed departments and even prompted one layoff reversal.
Tower Health Layoffs 2025
Tower Health will lay off 52 employees at Phoenixville and Pottstown Hospitals as part of a systemwide restructuring initiative aimed at addressing ongoing financial losses. In response, Pottstown Nurses United planned informational pickets citing safe‑staffing concerns and pay disputes.
Island Health Layoffs 2025
Island Health has laid off four executives, including a VP, citing financial pressures as the driving force behind leadership restructuring.
St. Louis Laundry Layoffs 2025
St. Louis Healthcare Linen Services is shutting down its operations, leading to layoffs for over 90 workers who serviced several hospital clients in Missouri.
Sharp Healthcare Layoffs 2025
Sharp Healthcare has cut dozens of positions, primarily in nonclinical departments, to address rising operational costs and economic headwinds.
UC San Diego Health Layoffs 2025
UC San Diego Health is laying off several hundred workers to reduce costs following pandemic-era expansions and a realignment of service areas.
Columbus Regional Health Layoffs 2025
Columbus Regional Health laid off 50 employees and closed multiple services, including its wellness center and sleep lab, as part of cost-cutting measures.
Penn Highlands Healthcare Layoffs 2025
Penn Highlands Healthcare is closing inpatient services at its Mon Valley and Connellsville hospitals, leading to over 200 job cuts across both locations.
Garnet Health Layoffs 2025
Hudson Valley-based Garnet Health announced a systemwide restructuring, eliminating 66 positions as it works to streamline services and address financial pressures.
Providence Health & Services Layoffs 2025
Providence Health is cutting around 600 jobs across seven states, including Washington and Montana, as part of a system-wide cost-saving plan. The layoffs include over 100 nursing assistants at Providence Regional Medical Center Everett. The health system cited financial challenges and evolving care models as reasons for the reductions.
Greater Cincinnati Hospitals Layoffs 2025
Two hospitals — UC Medical Center and West Chester Hospital — have laid off a combined 80 employees amid financial strain and operational changes.
PeaceHealth Layoffs 2025
PeaceHealth announced 251 job cuts to reduce financial strain across its Pacific Northwest hospitals. The layoffs came just ahead of a tentative agreement with nurses in Bellingham, who had been pushing for stronger staffing ratios and wage protections.
Prime Healthcare Layoffs 2025
Prime Healthcare is cutting over 100 jobs across Chicago-area hospitals after acquiring four Ascension sites and consolidating some services to reduce redundancy.
Virginia Mason Franciscan Health Layoffs 2025
Virginia Mason Franciscan Health laid off 94 employees and eliminated another 100 open positions due to budget shortfalls and shifts in patient volume.
Hunt Regional Layoffs 2025
Hunt Regional Medical Center is laying off 13 employees due to financial challenges and strategic efforts to stabilize operations.
Community Regional Medical Center Layoffs 2025
Community Regional Medical Center has laid off an unspecified number of workers, citing financial constraints and a need to improve long-term sustainability.
Academic Medical Centers
Baylor College of Medicine Layoffs 2025
Baylor College of Medicine in Houston laid off 122 administrative employees — less than 1% of its workforce — in response to anticipated cuts in federal research funding. Roughly half of Baylor’s $800 million research budget relies on NIH grants, prompting proactive workforce adjustments to safeguard its core scientific programs.
Vanderbilt University Medical Center Layoffs 2025
Vanderbilt University Medical Center announced job cuts related to NIH funding reductions, which will affect research support and administrative roles.
The medical center is laying off up to 650 workers after losing $150 million in federal funding linked to cuts from the Trump administration.
Broad Institute of MIT Layoffs 2025
The Broad Institute of MIT laid off nearly 100 employees across administrative and scientific roles amid restructuring and funding reallocation in genomics research.
Mayo Clinic Austin Layoffs 2025
Mayo Clinic has issued 90-day layoff notices to at least 12 nurses at its Austin, Minnesota, location, with the layoffs effective October 8, 2025. The hospital cited reduced inpatient volumes and operational changes as the reasons. The Minnesota Nurses Association has raised concerns about the impact on patient care and is reviewing the decision.
Public Health Programs
World Trade Center Health Program Layoffs 2025
The World Trade Center Health Program laid off 16 essential staff members, including physicians and administrative personnel. The abrupt terminations disrupted cancer treatment access and delayed new patient enrollment for over 137,000 9/11 responders and survivors — raising concerns about care continuity for a vulnerable population.
Health Insurance & Payers
Highmark Health Layoffs 2025
Highmark Health eliminated 208 positions across its operations in Pennsylvania and New York. This reduction comes as the company grapples with competitive pressures and losses in key federal contracts, prompting a push for enhanced operational efficiency.
WPS Health Solutions Layoffs 2025
WPS Health Solutions finalized the elimination of 313 jobs in response to losses in federal contracts and heightened market competition in the Medicare contracting space. This significant reduction aims to realign the organization’s cost structure with prevailing market conditions.
Blue Cross of Idaho Layoffs 2025
Blue Cross of Idaho plans to eliminate 135 positions by the end of March 2025. This decision follows the loss of a major state contract in the Medicare/Medicaid space and is part of the company’s efforts to realign its cost structure.
Blue Cross & Blue Shield of Rhode Island Layoffs 2025
Blue Cross & Blue Shield of Rhode Island is set to cut approximately 30 jobs — about 3% of its workforce — as it seeks to mitigate the financial challenges resulting from a significant net loss in 2024.
Optum (UnitedHealth Group) Layoffs 2025
Optum, a key arm of UnitedHealth Group in New Jersey, recently announced a major restructuring effort. According to a CNBC report, UnitedHealthcare has been offering buyouts to employees as it considers further layoffs.
University of Michigan Health Plan Layoffs 2025
The University of Michigan Health Plan is phasing out 192 jobs from December 2024 through February 2026 as it prepares to exit the insurance market. This gradual reduction is intended to help the organization reallocate resources more efficiently.
Arkansas Blue Cross Blue Shield Layoffs 2025
Arkansas Blue Cross Blue Shield is set to reduce its workforce by approximately 75 positions — around 2% of its staff — by March 21, 2025. This planned reduction is focused on controlling administrative costs amid increasing operational pressures.
GEHA (Government Employees Health Association) Layoffs 2025
GEHA plans to phase out 453 positions by April 13, 2025. This planned downsizing is part of a broader initiative aimed at achieving long-term cost management and operational efficiency.
Aetna (CVS Health) Layoffs 2025
Aetna, under the umbrella of CVS Health, is continuing an enterprise-wide restructuring effort that will result in ongoing layoffs exceeding 600 positions through June 2025. This strategy is designed to streamline operations and align the organization’s resources with its strategic priorities.
Cigna Group Layoffs 2025
Cigna Group has implemented its fourth round of layoffs in New Jersey this year, cutting an undisclosed number of positions due to company-wide restructuring.
UCare Layoffs 2025
UCare plans to exit the state’s public Medicaid programs by 2026, raising concerns about potential job losses as the nonprofit winds down operations tied to that business line.
Molina Healthcare Layoffs 2025
Molina Healthcare is laying off 29 employees in Virginia as part of a restructuring effort following shifts in Medicaid contract volume and state coverage policies.
Home Health, Long-Term and Senior Care
Bayada Home Health Layoffs 2025
Bayada Home Health is eliminating about 100 positions at its headquarters, citing a challenging economic and regulatory environment impacting the home care sector.
Memorial Hermann Layoffs 2025
Memorial Hermann is closing its senior living facility in Katy, Texas, resulting in layoffs for an unspecified number of employees by the end of August 2025.
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