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One of America's most prestigious health systems is tightening its belt — again. Mass General Brigham has begun a new wave of job cuts targeting clinical and operational programs, as the system faces a $300M+ budget shortfall this fiscal year. This follows earlier rounds of administrative layoffs in 2025 that eliminated roughly 1,500 positions.
One of America's most prestigious health systems is tightening its belt — again. Mass General Brigham (MGB), Massachusetts' largest private employer, has kicked off a fresh round of layoffs targeting clinical and operational programs, just under two years after eliminating roughly 1,500 administrative roles. The system is reportedly more than $300 million behind budget this fiscal year, prompting executives to call for structural redesign — not just back-office cuts.
Leadership has made clear that administrative savings alone won't close the gap. Division and department heads have been directed to trim budgets, and the system is reviewing whether to consolidate, relocate, or discontinue certain programs. MGB is targeting a 1.5% operating margin by fiscal year 2028 — the minimum, executives say, needed to sustain investment in care, research, and infrastructure.
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Why it matters: MGB's financial struggles reflect a broader challenge facing large academic health systems — rising costs, labor pressures, and thin margins. With nurses at Brigham and Women's Hospital in active contract disputes and a major cancer partnership winding down, the road to stability will be anything but smooth.
