PORTLAND — Maine Medical Center will offer voluntary early retirement to about 400 employees because of budget challenges, the hospital’s top executive said in a letter obtained by a newspaper.
President and CEO Richard Petersen said in a memo to staff obtained by the Portland Press Herald that the hospital has been forced to look for ways to reduce expenses and improve its financial stability.
Matt Paul, a hospital spokesman, said Friday that the medical center has not yet notified the employees who are eligible for the program, but “it’s the right thing to do in this environment.”
Petersen said more information about the voluntary buyouts will be provided next week.
“I believe that we will get through these challenging times together and will be a stronger organization for our efforts,” he said.
The hospital will receive $67 million from the state for unpaid Medicaid services, Petersen said. Gov. Paul LePage recently signed a bill using future liquor sales to pay back the state’s hospitals.
Petersen said the money will be used to strengthen the hospital’s financial base, but isn’t a windfall because it’s merely paying back past debt.
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