Palomar Health

Palomar Health lays off roughly 2% of its workforce

According to the marketing agency for Palomar Health, roughly 75 positions were affected, with more than half of those positions being unfilled

Just before Thanksgiving, Palomar Health announced it laid off about 2% of its workforce.

The public healthcare district said in a news release on Nov. 27 that the layoffs were part of its "recovery plan" to stabilize expenses and restructure for better long-term growth. The announcement came as audited results for Fiscal Year 2024 were expected to show the health system suffered a financial loss due to external factors.

"The impact was limited to roughly 2% of Palomar Health’s workforce, exclusively affecting leadership and back-office staff who are not directly involved with patient care," the organization said in the release.

Palomar Health Medical Group released new details about the cybersecurity incident that forced the medical group to take its systems offline two months ago.

According to its website, Palomar Health has 4,200 employees; 2% of the workforce would be about 84 people.

After NBC 7 published this story, a spokesperson for InnoVision Marketing Group — the agency representing Palomar Health — reached out to add that roughly 75 positions were affected, with more than half of those positions being unfilled.

The organization said it would also streamline leadership roles and examine operational efficiencies, contracts, and strategic partnerships.

"This was a profoundly difficult decision that involved careful deliberation," said Diane Hansen, president and CEO of Palomar Health. "These steps, while challenging, are necessary to stabilize our finances and prepare us for future growth. ... I am confident that our team's resilience and commitment to our mission will ensure we continue to deliver the extraordinary care our patients trust."

The audit was slated to be released last week, according to an InnoVision spokesperson, but had not been made available on the organization's website as of Monday night. Palomar Health said the audit's release was delayed because of a cybersecurity incident affecting Palomar Health Medical Group earlier this year.

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