University of Chicago and Rush University announce medical center layoffs

The University of Chicago Medical Center and Rush University Medical Center laid off employees on Thursday amid financial challenges.

According to a memo sent to employees obtained by the Chicago Sun-Times, UChicago Medicine laid off about 180 employees, equating the decision to those made by other health systems in recent years.

Rush University Medical Center confirmed to the Sun-Times that it too laid off employees without disclosing an exact number.

In the memo to University of Chicago Medical Center employees, officials attributed the layoffs to several factors, including surges in supply and labor costs, and a surplus of staff due to increased pandemic-era hiring.

The laid-off employees comprised about 2% of the University of Chicago Medical Center's staff, and reportedly received severance packages. Most of the affected positions were not directly patient-facing, and the organization stated that these changes would not impact the quality of patient care.

Both UChicago Medicine and Rush University Medical Center saw revenue increases in 2021 and 2022, with Rush University seeing an additional increase in net income in 2022, according to the Sun-Times.