Largest physician-owned health system in Utah braces for AI-driven layoffs

The largest physician-owned health system in Utah is set to lay off a substantial number of employees over the next few months—a move spurred by its rapid adoption of artificial intelligence and other forms of automation. 

The warning comes from the Utah Department of Workforce Services, which points to Nov. 3 as the date for terminations at Revere Health. In total, 177 workers are expected to lose their jobs. 

Local news ABC4 reports the reduction in staff is due to a partnership with IKS Health, a company that provides a “care enablement platform” that promises more efficient operations and a boost to revenue. 

In speaking to the outlet, the health system was open about IKS bringing in machine learning and "automated claims processing to optimize billing, collections and denial prevention”—operations that would typically be a manual task.

“As part of this modernization initiative, certain positions within Revere Health’s central business office will transition as we align with new technology-focused operations,” the company added. 

The hospital said the change is necessary to remain competitive and keep up with the demand for care delivery. While they lament the strain layoffs will have on the community, Revere Health’s chief development officer, Charlie Lathram, told ABC4 it intends to offer impacted individuals financial support.  

“These are valued members of our team, and we recognize this change affects not just employees but their families as well. We will provide comprehensive severance packages, transition assistance, and dedicated support to help each affected team member navigate this transition with dignity and care,”  Lathram said. 

Layoffs have yet to begin but are expected to happen as new technology is adopted. Revere Health has more than 100 locations throughout Utah and employs more than 1,200 people. 

For more, read ABC4’s coverage at the link below.