Trinity Health President and CEO Mike Slubowski Warns: Help for Hospitals is Critical to Rebuilding, Preparing for Next Community Emergency
June 7, 2022
The pandemic's challenges and lasting effects on Trinity Health and other health systems are far greater than anyone could have predicted. Lower patient volumes, escalated labor expenses, higher supply costs, inadequate reimbursement, and egregious payment practices by commercial health insurers are leaving hospitals weakened and increasingly unprepared to respond to the next community emergency.
The next emergency question is when, not if. The recent surge in cases fueled by the BA.2 Omicron variant is a warning that our hospitals could again see emergency rooms and critical care units exceeding capacity. All while environmental disasters and community acts of violence are on the increase. We are committed to treating every patient with the highest quality of care; this requires workforce and capacity rebuilding.
The next emergency question is when, not if. The recent surge in cases fueled by the BA.2 Omicron variant is a warning that our hospitals could again see emergency rooms and critical care units exceeding capacity. All while environmental disasters and community acts of violence are on the increase. We are committed to treating every patient with the highest quality of care; this requires workforce and capacity rebuilding.
Health systems across the country are operating in the red. A recent Kaufman Hall report calculated the hospital median operating margin at -3.09% in April, marking months of continuing losses. This is unsustainable and if not addressed will impact the ability of community hospitals to prepare for the next emergency. Hospitals are already contemplating reductions to community health improvement initiatives, eliminating service lines, workforce reductions and other initiatives that will slow the emergency preparedness rebuild.
Congress and the Biden Administration must invest in health system preparedness. Trinity Health has reflected on our COVID-19 Lessons Learned and is eager to address the policy implications with legislators. Learning #1: ensure public health and health systems have adequate preparedness and coordination of resources to care for patients and communities during emergencies.
Please support hospitals and the patients we serve with policies to stop Medicare sequestration cuts; instead invest in preparedness, workforce and COVID-19 relief, and ensure payment fully covers the cost of treating Medicare patients. Working together, the health of hospitals will improve, preserving our function as community anchors.