Washington, Maine Health Systems Announce Layoff Plans Amid Funding Challenges

Central Maine Healthcare, which operates hospitals in Lewiston, Bridgton, and Rumford, plans to lay off up to 100 employees amid ongoing financial challenges and Medicaid funding issues at both state and federal levels. This announcement comes as the health system prepares for acquisition by the California-based Prime Healthcare Foundation, which will invest $150 million in facility improvements while maintaining current leadership and community services. The healthcare system has also been impacted by a significant cyberattack in June that disrupted operations and has led to class action lawsuits. These layoffs follow previous staff reductions in early 2024 aimed at reorganizing management to support growth. Similar funding challenges are affecting other healthcare agencies, such as Washington State’s Health Care Authority, which is also facing layoffs due to budget shortfalls and potential federal Medicaid funding changes. Both cases highlight broader financial strains within U.S. healthcare systems tied to Medicaid policy changes under President Donald Trump's administration.