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Saturday, Aug. 30, 2008 , 12:00 a.m.

Chattanooga: Erlanger fires four officials

Erlanger hospital has fired four administrative employees, including a senior vice president.

Former state Sen. Ray Albright, a member of Erlanger’s board of trustees, confirmed Friday that two employees who lost their jobs were Nancy Poston, senior vice president of marketing and public relations, and Jan Powell, director of public relations.

The other two names were not available, and Erlanger officials declined to give any more specifics.

“We will continue to review all areas throughout the Erlanger health system for efficiencies and opportunities to reduce costs,” Erlanger CEO and President Jim Brexler said Friday in an e-mailed statement.

Erlanger spokeswoman Pat Charles said no Erlanger officials, including Mr. Brexler, would comment on the personnel changes beyond Mr. Brexler’s prepared statement.

Mr. Albright said that some jobs have been eliminated as part of a reorganization of hospital positions.

In June, Mr. Brexler announced that the hospital was cutting 200 jobs from its ranks as part of an effort to rein in expenses. At the time, he said only about 20 people would lose their jobs and the others would be reassigned to other areas.

The job cuts were expected to save $10 million in annual payroll expenses, officials have said.

Erlanger has sustained significant financial losses over the past fiscal year, financial records show. Between July 2007 and May of this year, the hospital experienced a loss of $12.3 million, records show.

Erlanger board member Jim Worthington said Friday that the board was told about the impending dismissals before last Thursday night’s board meeting.

“We don’t tell the CEO how to steer the boat, but we do look to the CEO to, as efficiently as possible, keep the boat afloat,” he said.

According to Mr. Worthington, over dinner with board members on Thursday, Mr. Brexler said, “I know this is something that you’re not going to be happy to hear when it breaks, but here’s what we’re having to do.”

“It’s sad,” Sen. Albright said. “It’s something that you really lose sleep over, and I’m sure that that was the situation with Jim Brexler.”

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