SAINT LOUISE REGIONAL HOSPITAL

Administrative Manual

HR
Original Date: 1/98
Revision Date: 9/03
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SUBJECT: Reduction in Force

Policy:
The President/Chief Executive Officer (CEO), in coordination with the Director of Human Resources, will be
responsible for instituting any staff reduction at Saint Louise Regional Hospital. The President/CEO, at his/her sole
discretion, shall determine when and to what extent to which the staff reduction will be.
This policy is limited to full-time and part-time associates who are not covered by a collective bargaining unit.
Temporary and per diem associates are not covered by this policy and may be laid off by any procedure deemed
appropriate by the hospital.

Procedure:
1. Staff Reductions
a. Definitions for the purposes of this policy the following are defined terms:
Classification: the current job title of the associate as it appears in the salary structure.
Department: facility costs center.
Regular Associate: benefited non-contractual associate.
Continuous Regular Employment: continuous and unbroken service as a Regular Associate
Recall: rehiring a laid-off associate into the same classification and department within six (6) months of
layoff.
Re-employment: rehiring a laid-off associate in a different classification or the same classification in a
different department within six (6) months of layoff.
b. When management has decided to implement a staff reduction, they shall identify those classifications which
need to be reduced. Staff reductions will be implemented by the department within each classification.
Selection of regular associates within each classification will be based on the current and prospective
operational needs of the department and the associates skills, abilities, documented performance and
competence to meet those requirements. If all of the above factors are substantially equal, then length of
continuous regular employment will be taken into consideration.
c. Prior to implementing reductions, the facility will consider utilizing associates to be laid off for vacant
positions in other classification or departments if they are qualified, or if cross-training is practical or can be
completed in a reasonable period.
d. In some situations, it may be appropriate to allow associates to volunteer for layoff. In those instances, it is
left to the sole discretion of the management to accept or reject a voluntary request.
e. In cases where there are no transfer opportunities, the hospital will generally provide affected regular
associates with two (2) weeks notice, or the equivalent of two (2) weeks straight-time pay according to the
associates then regular schedule in lieu of notice, or a combination of pay and notice.
f. In addition to notification pay as described above, regular associates placed in layoff status will receive
severance pay amounting to:
Non-Exempt
2 weeks notice plus:
0-3 years of service
4-5 years of service
6-7 years of service
8-9 years of service
10-14 years of service
15+ years of service

=2 weeks
=3 weeks
=4 weeks
=5 weeks
=6 weeks
=8 weeks

Exempt (Professional & Supervisory Associates)

2 Weeks notice plus:
Less than 5 years
Less than 10 years
8-9 years of service
10-14 years of service

=4 weeks
=6 weeks
=7 weeks
=9 weeks

Reduction in Force

15+ years of service

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=10 weeks

Department Managers and Directors

2 weeks notice plus:
Less than 4 years
=8 weeks
4 years to 6 years
=10 weeks
6 years to 8 years
=12 weeks
8 years to 10 years
=14 weeks
10 years to 25 years
=16 weeks
More than 25 years
=18 weeks
g. The supervisor or manager should meet with affected associates to insure they are aware of procedures and
benefit status. Human Resources will provide written materials regarding their rights to benefits continuation
and other matters believed by the facility to be relevant.
h. Regular Associates on layoff status may, upon request, be reclassified as Per Diem entitling them to be
called to fill future, intermittent needs. Acceptance of Per Diem status under this paragraph shall not affect
the laid off associates other rights and entitlement under this policy.
i. The facility may rearrange hours, shifts, assignments, etc. of the associates remaining after a staff reduction.
If an associate is not willing to accept the hours, shift, assignment and other characteristics of any staff
reduction, that associate shall be placed on layoff status.
2. Benefit Status During a Staff Reduction
a. Benefits coverage remains in effect until the end of the month in which the layoff occurs.
b. Associates on layoff status have the option to continue certain health-related benefits for up to 36 months by
exercising their COBRA rights. The cost of these continued benefits will be the responsibility of the laid off
associate.
3. Recall to Previous Position
a. All offers to recall will be made by Human Resources.
b. If a vacancy opens within a department and classification affected by a layoff during the six (6) months
immediately following the layoff, Regular Associates who were laid off from the classification within the
department will be recalled by Human Resources based on the operational needs of the department and the
associates skills, abilities and competence to meet those requirements.
If all of the above factors are substantially equal, then length of continuous regular employment will be taken
into consideration.
c. If an associate is recalled during the six (6) months immediately following the layoff, the associate will receive
credit for past service for purposes of service awards, and will become immediately eligible to participate in
the benefits program. Severance pay does not have to be repaid.
d. Associates will lose their recall rights six (6) months from the date of their layoff and will be treated as a new
hire if re-employed at a later date.
4. Re-Employment in Any Position
a. It is the laid off associates responsibility to stay informed of job vacancies if they are interested in being reemployed. This can be done by checking the posting boards in Human Resources. Offers of re-employment
will only be made by Human Resources, not by managers, supervisors or other associates.
b. Regular associates who, while on layoff status, apply for positions in classifications and/or departments
different from those occupied prior to layoff, will be given hiring preference for six (6) months. Associates
must meet the qualifications for the position. If the competency and ability of the competing applicants is
substantially equal, preference will be given to the laid off associate.
c. Laid-off associates who are re-employed within 60 days will be given credit for their prior service under the
terms and conditions of this policy. If re-employed after 60 days, but within the 6 months recognized by this
policy, the associate will have the choice of:
1) Keeping their entire severance payment which includes weeks that exceed the actual period of time they
were gone. In this case the associate will be re-employed as a new associate for purposes of benefits
participation and accruals; or
2) Repaying their severance to the extent that it exceeds the number of weeks the associate was actually
gone. In this case, the associate will be given credit for all prior service for accrual and seniority
purposes (adjusted forward by the number of days of layoff) and will be immediately eligible for benefit
plan participation.

Reduction in Force

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REPLACES:
APPROVED BY
Administration
Medical Executive Committee
Board

DATE APPROVED