Western Mass. hospital network cuts jobs

The Western Massachusetts healthcare network that runs Baystate Medical Center in Springfield says a $37 million projected shortfall is forcing it to cut 55 jobs and eliminate 120 vacant positions.

Baystate Health said today that it will also enact a hiring freeze for non-clinical positions and wait until the economy improves before moving ahead with financing for a major expansion.

Baystate says it's been hit hard by the economic downturn, reductions in Medicaid reimbursements and falling numbers of patients. The deficit represents about 2.3 percent of its budget for the current fiscal year

The company, which employs about 10,000 people, also operates hospitals in Ware and Greenfield and runs several regional health centers. (AP)