Newly appointed University of Arkansas for Medical Sciences Chancellor Dr. Cam Patterson said Friday that the academic hospital’s financial struggles contributed to a series of top-level employee exits and that he will review ways to improve employee retention.
Among employees who have left or announced plans to leave UAMS are its dean of the College of Medicine, the vice chancellor for campus operations, the medical center’s chief financial officer, the director of its cancer institute and the top cardiac surgeon.
“I think some of that is natural when there is a leadership transition,” Patterson, 55, said during a broader, 40-minute interview on his first day on the job.
“It provides an opportunity to reflect on what their goals and plans are. Some of that, I think, has clearly been motivated by the financial challenges that we have gone through and are now through.
“I need to figure out whether there are any other reasons that we need to address to determine if there’s anything we need to do to retain our best talent.”
The hospital temporarily shut down its cardiac surgery program in May, days after the lead surgeon retired.
UAMS has laid off 258 workers and announced plans to eliminate 730 total jobs since January, when financial projections showed the teaching hospital was on track for a $72 million budget deficit. Cutbacks have brought the deficit in line with the initial forecast of $39 million and allowed officials to submit a balanced budget for fiscal 2019, which starts July 1.
Medical centers outside Arkansas have sought to “pick off” top-level talent, even in recent weeks, but UAMS has been able to retain targeted employees, Patterson said.
Patterson, a cardiologist, arrived Friday from Weill-Cornell Medical Center in New York City, an affiliate of the nation’s largest nonprofit hospital, where he was senior vice president and chief operating officer since 2014. He became the fifth UAMS “chancellor” since it reorganized in 1975. The 139-year-old system counted 14 leaders before that transition.
The Mobile, Ala. native replaced former Chancellor Dr. Dan Rahn, who retired in July 2017 after nearly eight years at the helm. Stephanie Gardner, provost and senior vice chancellor for academic affairs, led the academic hospital on an interim basis and will remain at UAMS, officials said. Gardner was a finalist for the top job.
Patterson will receive a $1 million salary, plus $200,000 annually in deferred compensation, which is set aside for retirement, said Leslie Taylor, vice chancellor for communications and marketing. Of his salary, $375,000 is state funded, and the remainder comes from clinical revenue, Taylor said. The UAMS Foundation will pay the deferred compensation.
Rahn’s salary was $630,000, in addition to $270,000 in annual deferred compensation.
Read Saturday's Arkansas Democrat-Gazette for full details.