Children’s Mercy is making more money and growing. So why is it cutting jobs?

Editor’s note: This story was updated on Nov. 11 to reflect news that Children’s Mercy will be in network next year for UnitedHealthcare Affordable Care Act plans. Questions remain about the priorities and financial picture of Kansas City’s pediatric hospital after Children’s Mercy announced last week it would eliminate 115 jobs and shuffle 473 others to an outside contractor. In a statement, hospital leaders blamed rising costs and insufficient insurance reimbursement rates and said it needs to adapt to survive. “We continue to evolve our organizational structure to ensure we can remain one of only 28 independent, freestanding children’s hospitals in the country focused on kids,” the statement said. The layoffs come on the heels of a change to insurance options at Children’s Mercy that made national headlines, sparking viral conversations around Kansas City and causing panic among patients’ families who could lose access to care.

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