McLaren Northern Michigan Announces Layoffs

McLaren Northern Michigan just issued us a statement saying they are making a significant number of layoffs.

In an effort to reduce costs, the plan will go into effect immediately. McLaren says the restructuring will put them on par with industry standards. 

Included in the plan is to eliminate over 40 positions and cut hours for about 100 employees.

President and CEO of McLaren Northern Michigan David Zechman says, “Our industry is in a challenging and pivotal transition to the new healthcare model, and it is clear that steps are necessary to maximize our patient care options in that model.”

Northwest Michigan Works and the Petoskey Regional Chamber of Commerce say these cuts will have a ripple effect in the community.

Now, 100 employees may need to seek a second job because of cut hours, and those laid off could have to relocate to find a career that suits their skills.

The Chamber of Commerce says McLAren is the largest employer in Petoskey, and they hope a better budget is in the future.

9&10's Alyssa Gambla and photojournalist Erin Malone have more on how these cuts are impacting the community.