Tinian, Rota health centers next target of emergency layoffs

The emergency workforce reduction being enforced at the Commonwealth Healthcare Corp. has its sight on its next target: the Tinian and Rota health centers.

Based on initial estimates, this will save the cash-strapped organization some $2 million to $3 million each year, according to chief executive officer Juan N. Babauta.

The reduction-in-force has already resulted in the layoff of 19 personnel at the Community Guidance Center and more employees are expected to suffer the same fate.

On Saturday, Babauta submitted to the corporation’s board a list of more employees that will be placed on the chopping block. The board approved the issuance of termination notices beginning this week.

Saipan Tribune learned that 24 personnel—12 each from the Rota and Tinian health centers—will be issued pink slips. Babauta said most of these employees are support staff such as maintenance workers and custodians. He cited duplication of services among the reasons for the termination of their services.

The list was finalized in consultation with the resident directors of the two centers: Freddy Hofschneider for Tinian and Edward Maratita for Rota. The names of those affected were withheld during Saturday’s meeting.

Babauta said he also consulted and reviewed the list with hospital administrator Karen Buettner, nursing director Leticia Reyes, and board chair Joaquin Torres.

After Tinian and Rota, the reduction-in-force will continue on Saipan, according to the Babauta, but he could not immediately say how many will be affected this time.

He stressed the need to implement the layoffs to achieve a balance in the corporation’s budget. “And we are not even close to that.”

The corporation’s goal is to reduce personnel by at least 30 percent. Each month, personnel cost amounts to $1.7 million for almost 600 employees on three islands.

While the list was being discussed Saturday, Tinian board member Anthony Aguon opposed the plan for Tinian, citing the need to first conduct a desk audit. Babauta pointed out that desk audit will take time to complete and would only delay the immediate actions that need to be enforced.

Aguon’s opposition was defeated by a 3-1 vote. The three members who supported the motion were board chair Torres, Pedro Dela Cruz, and Roy Rios. As an advisory council, the board can only make recommendations to the CEO, who has the final say.

According to Dela Cruz, all affected personnel will be placed on the corporation’s “priority list” once it starts hiring again. “As much as we don’t like to see this, it’s a tough decision that has to be implemented,” he added.

Torres stressed the importance of laying off some employees as the corporation is not capable of keeping all of them with its “very uncertain” budget condition. “We cannot allow people to work without getting paid. This [emergency reduction-in-force] has been communicated since the beginning with the staff so they knew it’s coming down,” said Torres.

Dr. Jeremy Richards, director for Medical Affairs, appealed to Babauta to provide the affected employees enough time to prepare for their departure. He pointed out that during the first workforce reduction, many of the affected staff were taken by surprise and were not prepared.

Richards said that what happened was drastic and painful to those who lost their jobs. He said that if these individuals were given a longer notice, the department could seek some grants to support their positions.

According to Babauta, the Community Guidance Center was directly notified as early as November last year about the pending reorganization.