Baylor Scott & White Health announces 1,200 layoffs

Baylor Scott & White Health, the largest nonprofit hospital system in Texas, announced today it will lay off roughly 1,200 employees—or about 3% of its workforce—as a result of the pandemic.

"We worked to reassure and safeguard our people through the uncertainty as we prepared for a potential surge of COVID-19 patients, yet experienced a drastic drop in visits, largely due to the suspension of non-urgent surgeries and procedures," the company said in an emailed statement.

Patient volume is recovering—in-person and telemedicine clinic visits are at roughly 95% of pre-COVID levels, hospital admissions are at roughly 92% and operating room cases are around 97%—but it is not enough to offset the financial losses.

"While patient volumes are steadily increasing, we remain in a financial recovery period during which we must plan for continued unpredictability," per the statement.

The layoffs accompany other changes, including temporary pay cuts for senior executives and physicians and staff furloughs.

Pre-pandemic, BSW Health committed to raising the hourly rate for 12,000 nurses and staff, which it will honor beginning next month.

Baylor Scott & White has several clinics in the Austin area, including a downtown location on Cesar Chavez Street, and medical centers in Southwest Austin, Pflugerville and Lakeway.