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Getting the latest healthcare news for you
Getting the latest healthcare news for you
Trinity Health is laying off 557 IT workers — its second round of cuts this year — as the nonprofit outsources tech roles to keep pace with healthcare's growing complexity. Financial headwinds including federal funding cuts, low reimbursement, and rising care costs are driving the decision. Clinical roles will not be affected.
Trinity Health, one of the largest nonprofit hospital systems in the U.S., is cutting 557 IT positions — including system administrators, service desk staff, and engineers — as it moves to outsource those functions to a third-party vendor. The layoffs, set for October and November, mark the second wave of cuts this year after Trinity eliminated 10.5% of its revenue cycle positions in January, also through outsourcing.
The health system cited two main drivers: the accelerating pace and complexity of healthcare technology, and mounting financial pressures. Like many U.S. health systems, Trinity is navigating federal funding cuts, low reimbursement rates, staffing shortages, and rising costs for uninsured patients. Clinical roles are not impacted by the cuts.
By the Numbers:
Why it matters: Trinity's moves reflect a broader trend of health systems turning to outsourcing to manage costs and tech complexity — a shift that could reshape the healthcare workforce well beyond IT departments.
