The hospital system announced the layoffs Tuesday. It also announced the closure of Credena Health Pharmacy and Swedish Weight Loss Outpatient Clinic.
SEATTLE — Providence Swedish, the combined brand of Providence and Swedish Health Services, announced it is cutting about 296 positions. Layoffs will take effect in early 2026, the organization said.
The affected positions include non-represented caregivers, union-represented roles and open positions. The organization said the adjustments come amid growing financial and operational challenges. The changes include closing Credena Health Pharmacy at Cherry Hill and the Swedish Weight Loss Outpatient Clinic in Issaquah. Credena Health Pharmacy will close Nov. 24 and the Swedish Weight Loss Outpatient Clinic will close Dec. 12.
“These are tough and complex – but necessary – decisions to address the significant economic pressures facing health care today,” said Elizabeth Wako, M.D., president and CEO of Swedish Health Services, in a press release. “While layoffs are never our first choice, they are needed to sustain this organization.”
The organization said it is dealing with multiple obstacles, including state and federal Medicaid cuts, commercial insurer denials and programs affected by the One Big Beautiful Bill Act, citing rising costs and “declining procedural volumes.”
Providence Swedish said it has implemented “effective plans over the past seven months”; however, the organization said it must “adapt swiftly” to the volatile health care landscape. The company also stated that the layoffs are not connected to their current construction project in First Hill.
“These reductions are part of an ongoing evaluation process,” Wako said. “We remain focused on our mission and values, making thoughtful decisions to navigate financial pressures responsibly. Our organization’s strength lies in its dedicated people, and together, we will emerge stronger and ready to meet future challenges.”