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Public Health Trust Discusses Jackson's Fate

Union Leaders, Board Members Discuss Proposed Cuts, Layoffs

POSTED: Tuesday, March 9, 2010
UPDATED: 5:16 am EST March 10, 2010

The Public Health Trust began meeting Tuesday morning to consider drastic budget cuts at the Jackson Health System.

Hundreds of employees listened as union leaders spoke with board members.

The head AFSCME, the union that represents service workers did not rule out the possibility of pay cuts if it means minimizing layoffs.

The proposed cuts include slashing almost one-third of the workforce and closing Jackson North and Jackson South hospitals.

Jackson South is in the process of going through a $100 million taxpayer-funded expansion project. The possibility of closing Jackson South will likely trigger a long discussion and debate.

Jackson is facing a $230 million budget deficit. Without drastic action, the hospital system could run out of cash by mid May.

Martha Baker, the head of the Service Employees International Union, said the doctors and nurses she represents would be willing to come up with cost-saving ideas, but they will not be willing to take pay cuts.

"Let me just cut to the chase here," Baker said. "What we want to bring to the table are real solutions to a system that's failing. Shame on you for taking from the employees' pockets to fix a broken system."

Merritt Stierheim, who has led the county, cities and school district out of financial crisis in the last few decades, was in the audience taking notes.

"I will tell you, I have never seen a more complex crisis that faces the community," he said.

Stierheim said he was asked to get involved. But his role in the recovery and restructuring is not yet clear.

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