TWIN FALLS, Idaho (KLIX)-One of the major health care providers in Southern Idaho plans to reduce it's workforce by 2 percent amid what it calls a "challenging financial, operating environment." St. Luke's Health System announced on Wednesday it would eliminate jobs in the non-clinical and administrative areas in Idaho. The President and CEO Chris Roth said in a statement that the healthcare provider's expenses are going up faster than the rate at which it gets paid for it's services. St. Luke's employs about 16,000 people and the lay-offs represent about 350 people; about 150 positions have already been removed through retirements and departures while less than 200 filled positions will be eliminated by spring.

St. Luke's Lay-offs Attributed to Multiple Challenges Since Beginning of Pandemic

St. Luke's Health System also listed pent-up demand for services, workforce shortages, supply chain instability, and what it called a complicated payment environment. “This trend is not sustainable, and we expect significant financial and resource pressures to continue,” Roth said in a prepared statement. “We have outlined multiple response plans to help ensure our ability to deliver on our mission and advance our performance in this complex environment.” St. Luke's plans on focusing recruitment efforts in the clinical and operational side of it's services and in areas with workforce shortages.

St. Luke's Health said it has already reduced executive leadership positions as well as held back from hiring people not directly dealing with patient care. Spending in several areas has also been reduced, while it has consolidated real estate to make operations more efficient and reduce costs. Those being let go will be offered severance packages. St. Luke's is one of the primary hospital care providers in the Magic and Wood River valleys.

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