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Shalala: UM Medical School To Make Cutbacks In May

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Donna Shalala Statement 8/29/11

(Source: miami.edu)

CBS Miami (con't)

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Healthy Living

CORAL GABLES (CBSMiami) – The University of Miami’s Miller School of Medicine is about to undergo “significant” cutbacks.

University of Miami President Donna Shalala announced the cuts in a letter to employees on Tuesday.

In the letter, Shalala said the reductions are necessary because of a number of “unprecedented factors”, like the economic downturn of 2008, decreased state and federal funding for research and clinical care and tightening within the health insurance industry. She also said “UM is not immune from the financial struggles of our partners at Jackson Memorial Hospital.”

She said the Jackson Health System reductions have affected the school’s finances.

CBS4 News partner The Miami Herald reports Jackson Health, which has lost $419 million the past three years, cut its payments to the university by $16 million this year.

“With these challenges in mind,” Shalala wrote, “the Miller School is making changes to ensure it continues to achieve its mission of providing the highest quality health care, research and education. Changes will include a significant reduction in costs, including staffing. Reductions will not impact clinical care or our patients and will primarily focus on unfunded research and administrative areas.”

Shalala said the cuts will come in May. She did not provide details about how many employees may be laid off.

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