Baylor Scott & White Health announced Tuesday that they will lay off 1,200 employees. In addition to the layoffs, some employees will be furloughed or have their pay cut.
The changes come after the healthcare system experienced a "drastic drop in visits, largely due to the suspension of non-urgent surgeries and procedures," according to a statement.
Early data shows "significant economic implications" of the COVID-19 pandemic on Texans and the "operational and financial implications on our health system," the release said.
"We are implementing changes to remain prepared and able to adapt in continued unpredictability," Baylor Scott & White said.
The changes include temporary reductions of salary for senior executives, modified physician compensation models, flexing and furloughing of employees to accommodate changing volumes and around a 3% reduction of the workforce.
The healthcare system decided to protect the pay of all employees through the end of May, a deadline that was recently extended through June 7.
"While designed to better match our resources with evolving community needs, any decisions to part with our people are always very difficult," Baylor Scott & White said in a statement. "We are committed to supporting these team members’ transitions in every way possible."
