The University of Arkansas for Medical Sciences has eliminated about 600 positions, including nearly 260 that are currently filled, a spokeswoman said Monday.
The move came as part of the health science university’s need to cut $30 million in expenses this fiscal year, Leslie Taylor, vice chancellor in the Office of Communications and Marketing, said in a statement. More than 65 percent of UAMS' budget is for personnel.
“Like other academic medical centers around the country, UAMS has had financial challenges for many years but has always made up for any shortfall by using reserve funds,” she said. “However, we are depleting our resources and cannot continue to do that and sustain UAMS into the future.”
Laid-off employees were notified Monday, and representatives will be reaching out to them to provide assistance with finding other jobs, according to the university. The layoffs are set to take effect in 30 to 60 days, depending on the employee.
“Over the last several weeks, UAMS leadership has been conducting a comprehensive review of all programs to identify cost savings and make adjustments,” Taylor said.
UAMS must eliminate excess to comply with its budget as approved by the University of Arkansas System Board of Trustees, the statement reads. The current fiscal year ends June 30.
Taylor called the layoffs of 258 employees a “very difficult decision” that was not based on performance but rather “simply because we do not have the money to fund everything we have in the past.”
The cuts were across the board, though officials said they tried not to do anything that would affect patient care.
In Northwest Arkansas, UAMS cut six-and-a-half positions. Two were vacant, two had been notified last year that the positions would end in April, two others were told on Monday that their jobs were eliminated and one position was shifted to part-time.
UAMS employs about 10,900 people in 73 of Arkansas' 75 counties. The institution has an estimated annual financial impact of $3 billion on the state.
Read Tuesday’s Arkansas Democrat-Gazette for full details.
Arkansas Democrat-Gazette reporter Aziza Musa contributed to this story.