LANCASTER – The Antelope Valley Hospital CEO and executive management team on Friday talked about the state of the hospital’s finances and jobs with about 250 employees and members of the community.
Hospital CEO Dennis M. Knox told employees and staff at an informational session at the hospital’s community resource center that layoffs are done and bargaining will continue with unions.
“As far as our efforts for this, it’s done,” Knox said. “Now the bargaining is going on, and we have to defer to the SEIU and the CNA. But at the end of the day, the initial move is done.”
Knox also said that the hospital administrators could have either announced all of the recent layoffs at one time or systematically spread the layoffs out over a longer period. “I did not want that anxiety of spreading it out,” he said. “So we intently focused on getting it done, getting on with operations, and moving on.”
![Select employees received a termination letter on Sept. 9 warning that the layoff will affect a total of 105 employees. [Click image to view the letter.]](https://theavtimes.com/wp-content/uploads/2014/09/AV-Hospital-layoffs-3.jpg)
According to Knox, the hospital is currently applying to HUD to refinance its $130 million debt; so to appear as a credible organization that qualifies for the federal department’s refinancing program, the hospital must “rightsize” its full-time equivalent (FTE) staff.
“Because of the FTE creep and the additional staff that was at Antelope Valley Hospital, we had to look at ways, of very concerning and drastic ways to rightsize the hospital, to make sure we were staffing appropriately the appropriate number of hours for quality patient care,” Knox explained. “And we also did take the step of a lot of hospital staffs throughout the country. A lot of hospitals are doing hiring freezes. A lot of hospitals are stopping capital projects – we do not stop capital projects. … So we’re doing things that we believe are going to take out what we need to take out – in other words, we quantified up to $6 million in salary and benefits, and we looked at areas we believe are not affecting directly patient care … And some of these things are due to technology becoming available, and admittingly supplanting FTEs.”
Knox told the attendees that the hospital first offered involuntary separations and early retirement packages as a means of saving the hospital $6 million per year. However, administrators only received 20 applications, which failed to reach the $6 million mark.
“So we had to go work with our bargaining groups, CNA and SEIU, and we followed the collective bargaining agreements that have been negotiated to the letter of the law,” he said. “That’s where we are now. We had sessions this week with the CNA, we had sessions with the SEIU just yesterday, working and bargaining with them to bring closure to the needed restructuring.”
One comment from participants asked Knox how these proposed solutions were really a fix to the hospital’s financial dilemma and not just window dressing, saying, “There seems like there is a gaffe with your management team with not managing their budget properly.”
But Knox defended the management team, saying they are now equipped to manage their budgets in their respective areas – unlike previous years.
“We gave them a budget this year. In previous years there wasn’t a budget,” he said. “Our leadership is a thankless position because they get it from us (the management team) and they get it from down below, but we are training them to make them the best they can be so that this doesn’t happen again.”
Another forum participant wondered if there was anything that employees could do to prevent the layoffs announced.
“Is there anything that we can do collectively, such as volunteer to take a couple of hours off every week or something like [flexible work weeks or flex leave] with no pay to help preserve some of our co-workers, or something to make sure we won’t have any more layoffs?” asked an employee who worked in the Radiology Department.
In response, Knox said he appreciated that sentiment, while AV Hospital Chief Operating Officer Jack Burke, RN, replied, “When we met with SEIU, there was that suggestion on the table to be considered under the negotiations.”
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Previous related stories:
AV Hospital, union officials to host events addressing layoffs
Quality of patient care questioned after AV Hospital announces personnel cuts
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BigRick says
hmmmmm. I wonder if senior and executive staff took a pay cut?
Alfred says
The man behind the AV Hospital financial mess is the Crookster Frank Visco. Frank has a web of misdeeds that makes the Cartels look like child’s play. Looks to me like a Federal investigation is needed to uncover the real truth.
One solution go the Palmdale Hospital id you can.
Steve says
Alright bucko, just where did this $130,000,000 come from? This is way out of control, none of the old board members know anything about this sum of money. Go public or face legal action like you have never herd of, we the people own that hospital not you and your band of crooksters
Smoke and Mirrors says
Does someone care to explain how Jack Burke, who toted himself as an “RN” in introductory meetings to staff, doesn’t have a current RN license in the state of CA? He still wears the title on his Hospital badge. He even told a nice story about how he ran up and down the stairs with a policy book to cover his previous hospital at a JCAHO audit.
How could you spit in the faces of some of the RN’s who have been working there 10+ years? I know one of the RN’s you’re laying off has 20+ years of dedication to AVH. Why not find them positions prior to laying them off, instead of insulting them by making them re-apply for their own jobs.
If the ER charge nurses are moved into non-union “supervisory” positions, what’s going to stop the administration from doing this house-wide? NOTHING.
What do we have to look forward to after serving this community and hospital for years? Should we expect to be treated like dirt when the time comes? You worry about employee retention and magnet status when you can’t even do the basics to keep your employees happy.
Stop scratching the surface and find a real solution to the Hospital’s financial problems.
4me2no says
You should check your facts before posting erroneous and slanderous information! Jack Burke is in fact a licensed registered nurse in California. His legal name is John J. Burke. Look it up! Your post is typical of the misinformation circulating about the recent developments at Antelope Valley Hospital.
William says
@4me2no
I believe the accurate term for written statments that a person knows to be false is ‘libel’ not ‘slander’.
If the person’s name is different on his RN license, perhaps Smoke and Mirrors didn’t knowingly make a false written statement. It seems that Mr. Burke uses ‘Jack’ in his public, professional life and ‘John’ is his legal name.
I am guessing that it was an innocent mistake and not a deliberate falsehood. Maybe Smoke and Mirrors can clear it up.
Or, you can ask Rex. He knows everything.
resp. therapist says
Does anyone know when bumping rights will go into effect and how soon those of us affected by bumping will be notified we are getting laid off? Many of us didn’t receive layoff letters, but surely we will be bumped do to lower seniority than part timers and workers with more skills… in the case of licensed rcps anyways.
Emp says
According to the union handbook an interdependent bump cannot take place. However, an employee of one department can bump out an employee of another department if the qualify and can be trained in 30 days.
RN says
Most likely you’re safe. If you end up getting bumped out as you say, you will most likely end up getting rehired in the future. RT is a unique department because technically us nurses can do your work, but it can be time consuming with everything we have to do. I can learn to do ABGs, transport patients and manage ventilators, as long as someone teaches me, but with that said I prefer having RTs over not having them. I see you as very useful during codes and help to RNs. It wouldn’t be fair to RNs to pick up everyone’s work, EKG, Phlebotomy, Respiratory, what next???? Housekeeping too?
Thanks AV says
I had to visit the ER last night, thank you so much AVhospital! P.A Gayle and R.N Tracy took very good care for me!! Thank you, thank you so much!!!
research it says
First I’d like to say can everyone please take a second and Google these following terms together- Dennis Knox western medical center fines. The first article that pops up is going over how Mr.Knox ran a hospital in such an unsafe manner, they were fined and facing a federal shut down. That’s exactly the path we’re headed down. He was “replaced” shortly there after. As much as the executive team and the bs mgmt co. brought in would like you to think, they did not warn the unions or speak to the employees actually on the floors working vs hiding in their offices in the administration wing. Maybe if the executive team and directors actually came down and preformed the jobs their employees do, they’d understand better what is needed. You know how your car mirror says objects may seem closer than they appear? Yeah same concept! What you see on paper is not how it plays out on the floors. Now as an employee I understand that yes we have financial issues right now and those are largely due to uninsured patients and a freeze on payments from medi cal insurance from the government (which is already not a full percentage reimbursement causing a financial strain for many years now). Oh and 2 things, yes people they are frozen at the moment because of Obamacare and the construction at the hospital was funded by construction grants that have absolutely nothing to do with this financial crisis and those funds can NOT be used to help. I also understand we have 2 unions with rules on how to down size, but that doesn’t mean target whole departments or teams and wipe them out. I may not have the degrees that the executive team or mgmt co have but I can tell you even with union rules this could have been done wiser. Pull fte’s out of every dept. and rewrite job descriptions. All departments are needed for us to function but can you explain to me why not only was dietary and evs not looked at as an option further but I’m seeing a lot of new employees in those areas right now. I believe we lost one evs Mgr and I’m told 5 evs employees but dietary didn’t loose any employees, in fact they just hired employees. What was the point of down sizing those areas a few years ago during lay offs if we were just going to “creep” their numbers back up? I can except ekg techs, IF we’ve purchased new technology to monitor the patients with out them. Asking nurses to only take preceptor pay just like a back up charge is fair. You should only get that pay rate if you’re actually working the position. Lay off all ER charge nurses to replace them with “managers” that can’t even preform patient care is absolutely ludacris. So who do all the new nurses or nurses encountering new situations turn to? There’s a reason why we can’t get a long term ER director because you have already been operating on a borderline unsafe environment asking that department to take on impossible loads and make magic with minimum… fix the first problem not add to it. Please please please do not get me started on our RRT’s. Have ICU charge nurses take on those rolls? If an ICU charge nurse has the time to be off the floor responding and stabilizing patients on other floors and at WIP for sometimes hours, why do we even have them now to begin with? Then again I could also ask why do we even have respiratory therapists and lab techs if you feel it’s ok to add that to an RN work load. Hello because they are crucial members of a team! But we’ll find that out the hard way when flu season hits. Here’s another crucial department from the team that was chosen to hit hard. Non union SECURITY! Our mental health population is out of control along with some of the general public! Does mgmt have any idea how many times a day those guys respond to calls before they turn into code grays? In and off the locked unit. Who do you guys think is transporting the RRT’S to codes? Who do u think is helping traumas get in the door from the helipad? Since we don’t need that many of them either, the next time a patient is stealing linens and supplies, I’ll be sure to let them take them since we’ll be understaffed in that area to. Soo basically Mr.Knox for doing the right thing and Mr. Jack ass your refusal to answer many questions and constant referrals to “my hospital” in the meetings spoke volumes. You must firmly have your heads planted in each others asses if you cant see this is and will affect patient care in every way. I’m trying to be nice and give you both the benefit of the doubt that you’re not just bold face lying to the public. The only one up there that seemed to have some compassion he was trying to hide from the arrogant “men” at his side was I believe Mr. Paul Brydon. Now begins the waiting game of how long before our ceo runs us into the ground like he did western medical.
Lancaster resident says
Here here!! Research it. U should try to move up, board member, union, something, somewhere. I’d vote for u, if public votes.
Concerned Employee says
Thank you for mentioning Security. They have lost nearly an entire shifts worth of people and they were short in the first place. I do not feel safe knowing that our protection is overworked and understaffed. The violence in the ER alone could justify a 24/7 police presence PLUS security staff. Now we’re just waiting for someone to get hurt.
Visitor says
You have to thanks the security director because he’s job was in the line so he made a Decision to safe his ass in supervisor and sacrifice 15 jobs to save 2 jobs from security Management this director is worthless why keep this man for this job when the hospital is suffering for safety is very scary to walk in the er with all those 5150 violence patient so I ask my self why pay this man to much money for what let him go all the director from different Deparment we’re let go why not this worthless director
William says
After reading many comments on several articles relating to the hospital, it seems that someone at the hospital needs to address its public relations with the community.
They aren’t good. Health care isn’t only about medications and bedpans but about the community’s trust and confidence that the hospital’s commitment to its care is the top priority.
I’m betting that that confidence plays a part in a patient’s well being and recovery.
Get on it, AVH.
Jake Elwood says
Does anyone understand the structure of AVH administration?
There’s an elected Board of Directors that’s responsible for everything that happens at the hospital. This elected board previously chose to run the facility without a budget that had detail down to the department level.
THAT’S where the fault is!
When will we STOP electing healthcare providers to the Board?
They might know how to treat a patient but they have NO IDEA how to run a healthcare district with a several hundred million dollar budget.
Who in the community wants to step up?
IRay says
Ah, yes, an “elected” board all hand picked by Paris. They will surely put the hospital in the same fiscal quagmire as the city of Lancaster.
MR. PERPLEXED says
I WONDER IF THIS HALLOWEEN I’LL BE ABLE TO GET A MR. KNOX MASK?
JUST LOOKING AT HIS FACE FOR A FEW SECONDS IS LIKE LOOKING AT THE DEVIL HIMSELF!
MAN I GOT THE HEEBY JEEBIES ALREADY!
Colin D. Baird says
Mr.’s Knox, and Burke, both executive officers at AVHMC, believe their compensation had nothing to do with the hospital’s job losses. Asked not once, but twice if they gave consideration to reducing everyone’s pay-including their own, to avert layoffs, Burke angrily, defiantly, and arrogantly, answered no. Knox jumped in stating. “It was an unfair question.”
Their respective compensation did not drive the hospital’s failures. Their stewardship over the resources of the hearts and minds of their employees did. Something neither man can see, nor understand. They are blindfolded by the command and control leadership principles they adhere to.
As men, Knox and Burke are not the real problem. It’s their arrogance, and lack of humility that’s behind the financial losses at the hospital. Lack of humility that prevents them from comprehending the true value of man’s heart, mind, and creativity as tools for continuous process and business improvement.
As Knox points out, improvement is required to transform the hospital. Leadership Mr Knox, is exactly what is needed to lead the transformation! It’s engaging the hearts and minds of employees whose responsibility falls directly on you and your team. The employees didn’t fail you, you and Mr. Burke failed them. Your consultants simply had the wrong target; improving leadership should have been their aim. Unfortunately, you all missed your bullseye.
Why was the order of compensation reductions not overtime, executives, managers, supervisors, and then lastly, those closest to the patients?
It’s quite simple. Real leaders eat last. It’s clear, Knox and Burke eat first,. They have been first in line, first to the table, and first to dig in to the juicy ribeye continuously served to executives by voters and the AVHMC’s ineffective board of directors. If Knox and Burke still wish to be compensated like leaders, they will have to learn to serve themselves last, not first as is currently the case.
This basic principle of leadership is taught in almost every leadership course, and at military academies around the world including West Point, and the US Naval Academy. Unfortunately, it obviously was not taught at Duke University where Mr. Knox received his MBA.
It’s time Mr. Knox for you to understand truly human leadership and the principles behind the Japanese leadership model of continuous improvement. It’s not just business process that needs your attention, it’s the lives, minds, and hearts of your employees. That indeed is why you are paid so well, something the voters are once again left to contemplate. I’m afraid the arrows in the voters quivers will sadly, once again, miss their mark.
Colin D. Baird is a writer for Chief Executive Magazine, CEO.com, and Canada’s Public Sector Digest. He speaks frequently on the Deming Principles of Continuous Improvement, operational excellence, and the need to transform American leadership. He is a consultant for Lean Synergies International, an international management consulting firm specializing in operations and leadership improvement. Colin is an expert in Lean Six Sigma, holds an active insurance licence, and is a lifelong resident of The Antelope Valley who was born at AVHMC.
William says
Do you suppose that they are itching to have their contracts bought out so they can leave town with a nice severance package?
Isn’t that SOP? Do these guys really want to stay and do the hard work of turning things around?
Landcaster Resident says
Here here!!!! Baird
Major Leadership problems at AVH. It’s as if the hospital is being ran by high schoolers. Dating each other, rumors, druggies, half a dept smoking at the street corner, bullies whom call others bullies when they’re just speaking the truth. But the truth is hard to swallow, Knox and Burke went in too soft, not correcting problems or listening to employees. Well, it’s going to come down on them when the hospital fails harder after this mess. They’ll be gone later, but at the cost of 105 employee families and patient care at its all time worst.
bird says
Colin D. Baird—Spot on Mr. Baird!
William says
bird
September 19, 2014 at 1:47 pm
“……Your long winded comment is completely deceptive! A biased view is never the truth!”
bird says
William–There is 1000 miles of difference between your comment and Mr. Baird’s. How arrogant of you! Mr. Baird makes an eloquent, truthful comment and all you can do is find fault. This is how you are with everyone.
bird says
William—Your self-serving bias and Mr. Baird’s selfless comment is like I said, a 1000 miles of difference!
William says
“……Your long winded comment [2 of them] is completely deceptive! A biased view is never the truth!”
William says
Nancy P
September 19, 2014 at 5:24 pm
Bird, maybe you should stop complaining about what William is complaining about and stick to actual comments on the subject. People blaming Obama for all the problems at AVH is funny. That’s like blaming Obama for the mess George Bush left for him!
Personal experience from emergency room to a week stay, that place blows. I feel sorry for the few employees who are doing their jobs while others are busy trying to figure out how to fake a slip and fall for workman’s comp.
William says
You are so confused, you bitter, hypocritical, unhappy, humorless, frigid old spinster and fake ‘Kristian’. That’s with a ‘k’ as in fake ‘krab’.
There is no compassion, forgiveness or any other real Christian values in your posts, just self-righteous ‘holier than thou’ judgments to me and others (lest not ye be judged).
You are a joke of a Chrisitan. You give it a bad name. Here’s an example of you talking out of both sides of your nasty mouth. And, it also points out your ‘bias’ which you accuse me of, again illustrating your hypocrisy.
bird
September 8, 2014 at 4:02 pm
“Actually the “Culture of Corruption” leans more toward the Democrats than the Republicans. The list is too long to mention. It’s all there for anyone who is interested.” [see your bias] (former republican governor Bob McDonnell threw his wife under the bus but both got convicted anyway. They of the ‘family values’ nonsense that is for others, just not them which is just how you are with your hypocrisy shown here daily.)
bird
September 8, 2014 at 3:28 pm
“You see, it really doesn’t matter if you are a Republican or a Democrat. It matters if you are morally upright, and it seems to be lacking with both parties.” (and in your life as well. You think ‘morality’ is only for you to scold others with while not living it yourself. I bet there’s lots of stuff in your life that isn’t honest and moral but you excuse it by telling yourself that Jesus forgives you. And, then you do it some more)
You contradict youself in your insane rage against me and I love pointing out your contradictions and hypocrisy for all to see.
You recently called me a ‘hypocrite’ just to name call but you didn’t point out what I have been hypocritical about while you are a hypocrite constantly and I re-post your comments to show everyone.
But, keep on doing it as I enjoy pointing out your absurdities by re-posting your nonsense. It’s fun to see your words used against you isn’t it? Unfortunately, you’re too dense to get it.
And, please tell us how you are NOT ‘self-serving’ while you say I am.
FTE's says
FTE’s, all employees that are constantly on leave should be let go or on a freeze to return. That’s a right the hospital holds during “Reduction of Work Force”.
Lancaster resident says
Fix the hospital patient to staff ratio and point systems, loads, same numbers don’t mean the same amount of work. This will make work loads even across the board, billing becomes more efficient and retrain those who bill. If u really need to let people go, start with poor employee reviews and those whom have attendance issues, include those whom have been rumored to have drug problems. Retain the right to random drug testing. These people are the first to go in order to restructure the hospital balance and will save the hospital on the amount of back lash. Also look at the number of management and supervisor positions, many are non-efficient staff members and form clicks or cronies that get away with working inefficiently. Keep as many high or multi skilled personal as possible, employees that have worked else where, not the same facility for twenty years and have no new experience and old certification. These people are usually stuck in their old ways and think nothing can get better or be improved because they’ve done or seen it all, but really haven’t. And don’t let dept heads decide who goe’s, HR should be looking over lists and retain high skilled to Stop the cronies from sticking around.
Lancaster resident(2) says
What are you saying exactly? This sound an awful like the ramblings of someone I know. You say target honest hardworking employees that have attendance and “drug” issues. The majority of these employees are out on stress leave cause by “managers” like you that have created a hostile work environment. The remainder have gone to their Physicians and sought prerscritpion medication just to deal with managers like you!
There is nothing new under the sun. Just because an employee has chosen to dedicate his or her service to one employer does not make them obsolete or that their liscense is not valid, Are you kidding me!!!???
Lancaster Resident says
I don’t work there and never have. I know a hand full of people that have, read and hear about some employees buying drugs in the parking lot of the hospital, taking longer or more than scheduled breaks and lunches, sniffles after restroom use. I’ve witnessed the ER, AV’s biggest drug dealer. Everyone I’ve known to work there doesn’t anymore because they have realized that AVH isn’t the only place to work in Southern Cali. Look at the turn around there, a majority people work there just get two years experience and move on. One of my friends told me the RT dept is on its 3rd director in 5 yrs, its obvious that there are management problems. So you sound scared. I just agree with Bairds and if clean up is needed that’s where it should start, the people that are or have become a burden on their depts should go before those that take extra steps, courses, certifications, CEU’s…. should stay, they have shown their loyalty by keeping up with the times and giving quality care. Not that there aren’t people that get the extra pieces of paper and still know nothing, cause there are. So maybe u should get some help, without drugs
Lancaster resident(2) says
For someone that claims they have never worked there you seem to have a lot of information?
“I’ve witnessed the ER, AV’s biggest drug dealer”
“the people that are or have become a burden on their depts should go before those that take extra steps, courses, certifications, CEU’s….”
“people that get the extra pieces of paper and still know nothing”
Your staements dont add up. Who exactly are you “Lancaster Resident”?
Addicted to IV Asada says
If by “drugs” you mean the delicious tacos served on weeknighs by a food truck in the ER parking lot then we are all “druggies”, because that stuff is delicious. Do you really think we would all risk our professional licenses like that? Get real. I went into this profession to take care of people and do it in the best way possible. Your comments are insulting.