Mercy Hospital filed for bankruptcy to meet its staff compensation and severance plans before closing later this year. | Stock Photo
Mercy Hospital filed for bankruptcy to meet its staff compensation and severance plans before closing later this year. | Stock Photo
Losses that reached $8.7 million in January caused Mercy Hospital of Chicago to file for Chapter 11 bankruptcy.
The hospital losses reached $4 million a month in 2020 but more than doubled that in January 2021, Carol Schneider, the president and CEO of the hospital, said, WGN reported.
She said the hospital still plans its wind-down to a May 31 closure.
The Illinois Health Facilities and Services Review Board voted to deny the hospital’s closure at its Dec. 15 meeting. The hospital’s attorney filed a notice of its intent to appeal that decision. The hospital closure is on the agenda for the Illinois Health Facilities & Services Review Board meeting on Tuesday, March 16.
Schneider said the hospital could stick to compensation and severance plans for current employees by filing for bankruptcy.
Before the closure, current patients will be placed in other medical homes through cooperation with other area health care providers.
Mercy Hospital has a long history in Chicago, operating in the city since 1852. Its current location opened in 1968. Closure plans were announced in July 2020.
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