Mayo Clinic announces cuts and closures, citing healthcare staffing woes
Editor’s Note: An earlier version of this story contained an error regarding the healthcare services that will remain available at Mayo Clinic’s Albert Lea hospital. Those details have now been corrected.
Non-profit health system Mayo Clinic said on Monday that it’s planning to close six clinics in Minnesota, its home state, in an effort to remedy staffing shortages.
Specifically, the clinics in Belle Plaine, Caledonia, Montgomery, North Mankato, St. Peter and Wells will all be shutting their doors forever. In addition, its hospital in Albert Lea will end elective surgeries in some specialties, including gynecology and orthopedics. However, a spokesperson for Mayo Clinic told HealthExec future procedures will be moving to nearby patient care centers. The hospital is still operating as normal, and its emergency room remains open.
Mayo Clinic said the changes will go into effect Dec. 10. It’s launched a resource webpage to answer common questions patients may have, as it says it’s working to transition all of them to new locations. Patients will “receive a letter and portal message explaining the changes” and presenting them with options, the online FAQ confirms. In some cases, that means shifting in-person visits over to telehealth.
“We understand travel is a concern. That’s why we’re committed to helping [patients] transition to the closest, most convenient Mayo Clinic site possible, while also offering options like primary care on demand and same-day appointments to reduce unnecessary travel,” the health system added.
In an announcement, Mayo Clinic said dwindling patient volumes in the region, combined with a shortage of clinicians, forced the consolidation. Speaking to the Minnesota Star Tribune, Karthik Ghosh, MD, vice president of Mayo Clinic Health System, said some of the closing clinics were operating on irregular hours due to staffing woes.
The outlet added that those clinics lacked labs and imaging, meaning patients were often forced to travel for services anyway, as rural communities are simply lacking the amenities of urban areas.
It's not clear how many layoffs will accompany the shuttering clinics, but the health system said it will be working with staff individually to effectuate any transitions.
‘Big, Beautiful’ Medicaid cuts
As part of the passage of the “One Big, Beautiful” spending package, cuts to provider taxes will mean states are facing a reduction in federal spending on Medicaid. In analyzing the impact, the Chartis Center for Rural Health released a report warning that rural hospitals can expect to lose $2.4 billion in annual revenue as a result of patients losing safety net coverage.
The nonprofit advocacy group expects this to push already struggling facilities over the edge, forcing even more cuts to services. The Chartis Center said maternity care is likely to see the most pullback, as 50% of rural births are covered by Medicaid.
All the same, slashing spending may not be enough. It’s possible hundreds of hospitals and clinics in rural America will be forced to close for good, as 50% of them already operate at a loss.
There is a provision of the One Big, Beautiful Bill Act that carves out $50 billion for rural healthcare, but it remains to be seen what impact that will have. States will need to submit a proposal to the U.S. Department of Health and Human Services (HHS) outlining the need for funding, which will then need to be approved.
All 50 states have until Dec. 31 to apply, as Medicaid cuts begin in the new year.
Chad is an award-winning writer and editor with over 15 years of experience working in media. He has a decade-long professional background in healthcare, working as a writer and in public relations.