The Markets February 4, 2009
Ark. Hospital Firm Trims 401(k) Match
An Arkansas hospital company has trimmed its 401(k) match as part of a general cost-cutting effort.
Reported by Fred Schneyer
A Northwest Arkansas Times news report said Washington Regional Medical Center announced plans to cut the match from 6% to 5%, cut pay for its 2,150 workers by 2.9%, and decrease salary for executives by 3%.
The company also halted its 2009 bonus program, the news report said.
In a letter from WRMC CEO Bill Bradley to employees of the hospital and its related system of clinics and other facilities, Bradley wrote that WRMC “must confront a ‘perfect storm’ of issues that have been compounded by or are directly attributable to the current economic crisis.”
The announced pay and benefits reductions took effect February 1.