These workforce reductions impact the Central Puget Sound area – comprised of Swedish First Hill, Cherry Hill, Issaquah and Ballard hospital campuses and Swedish Medical Group.
Providence Swedish is taking decisive steps to ensure long-term organizational stability as it navigates current operational and financial challenges. As part of this process, the health care provider is implementing workforce reductions across its Central Puget Sound (CPS) operations.
The decision impacts approximately 296 positions, representing 3.8% of workforce roles. This includes non-represented caregivers, represented (union) roles, and open positions that will remain unfilled. The adjustments affect a combination of frontline and clinical, administrative, support, and management positions across more than 100 departments. Impacted employees will transition out of the organization in early 2026.
“These are tough and complex – but necessary – decisions to address the significant economic pressures facing health care today,” said Elizabeth Wako, M.D., president and CEO of Swedish Health Services. “While layoffs are never our first choice, they are needed to sustain this organization.”
Providence Swedish, like many hospital systems, is responding to multiple headwinds, including state and federal Medicaid cuts, increased costs from state legislative policies, state and city business and occupation taxes, commercial insurer denials, and declining procedural volumes. The recently passed H.R.1 (the One Big Beautiful Bill Act) will further impact vital safety-net programs, adding to these challenges.
Despite implementing effective plans over the past seven months, the organization must adapt swiftly to the ongoing uncertainties in health care. Providence Swedish remains committed to supporting caregivers during this transition, offering resources for job placement and career counseling, alongside its caregiver assistance program.
Additional operational changes include closing the Credena pharmacy at Cherry Hill, effective Nov. 24, and closing the Swedish Weight Loss Outpatient Clinic at Issaquah, effective Dec. 12.
Providence Swedish emphasizes that these workforce adjustments are separate from the ongoing North Patient Tower construction at First Hill, which is a vital project to replace and modernize older facilities and ensure service sustainability.
“These reductions are part of an ongoing evaluation process,” said Dr. Wako. “We remain focused on our mission and values, making thoughtful decisions to navigate financial pressures responsibly. Our organization’s strength lies in its dedicated people, and together, we will emerge stronger and ready to meet future challenges.”
About Providence Swedish
Providence Swedish has served the Puget Sound region since the first Providence hospital opened in Seattle in 1877 and the first Swedish hospital opened in 1910. The two organizations affiliated in 2012 and today comprise the largest health care delivery system in Western Washington, with 24,000 caregivers, eight hospitals and 244 clinics throughout Western Washington – from Everett to Centralia. A not-for-profit family of organizations, Providence Swedish provides more than $545 million in community benefit in the Puget Sound region each year. The health system offers a comprehensive range of services and specialty and subspecialty care in a number of clinical areas, including cancer, cardiovascular health, neurosciences, orthopedics, digestive health and women’s and children’s care. For more information, visit providence.org/swedish.
