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Petoskey Hospital Announces Layoffs; Blames Federal 'Sequester'

Linda Stephan

Leaders at the hospital in Petoskey say they plan to lay off 30 workers, including some managers. McLaren – Northern Michigan leaders have not said which positions will be eliminated.

Hospital leaders blame current across-the-board federal budget cuts, saying sequester cuts to Medicare will cost the hospital over a million dollars by the end of September.

In a statement, hospital leaders also say Congress is negotiating a budget that could mean even further reductions to the government insurers Medicare and Medicaid.

McLaren – Northern Michigan is not alone in announcing cuts due to the sequester. Detroit Medical Center announced plans last week to cut 300 full-time workers.