NEENAH (NBC 26) -- ThedaCare has experienced a loss in revenue due to coronavirus and is now working on a plan to maintain financial stability, the hospital system announced Thursday.
At the onset of the pandemic, ThedaCare said it temporarily suspended non-urgent elective surgeries and other services in order to focus on responding to the virus.
"Even as ThedaCare continued safely managing COVID-19 cases while beginning a phased approach to reinstate services in early May, the recommended suspension and the costs associated with COVID-19 preparation resulted in a 40 percent reduction in net revenue in April alone," ThedaCare stated in a news release.
ThedaCare also said it's not alone in revenue loss, as the American Hospital Association estimates $202 billion in losses for U.S. hospitals and health systems in the last four months.
As a result, ThedaCare says it's making some compensation cuts at its top leadership roles as part of a financial stability plan.
ThedaCare says President and CEO Dr. Imran Andrabi is taking a 50 percent cut to his total compensation, and members of the executive leadership team are taking a 40 percent reduction in their compensation.
Other ThedaCare leaders – senior vice presidents, vice presidents, directors, managers, supervisors – and physicians and advanced practice clinicians will see a smaller reduction in their compensation for the rest of 2020, ThedaCare says.
ThedaCare also says none of its leaders will be eligible for incentive compensation for this year. Andrabi said in a statement that the plan does not include mass layoffs or changing base salaries for team members beyond specific leadership roles.
Patients will continue to have access to ThedaCare’s services. More information about ThedaCare's plan can be found here.
