{"id":364362,"date":"2025-12-22T21:37:15","date_gmt":"2025-12-22T21:37:15","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/364362\/"},"modified":"2025-12-22T21:37:15","modified_gmt":"2025-12-22T21:37:15","slug":"nebraska-hospital-ceo-tysons-spreadsheet-decision-will-devastate-health-care","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/364362\/","title":{"rendered":"Nebraska Hospital CEO: Tyson\u2019s \u201cSpreadsheet Decision\u201d Will Devastate Health Care"},"content":{"rendered":"<p class=\"_1uhbe1z1 _1uhbe1z0\">LEXINGTON, Neb. \u2014 Many around this rural Midwest cow town seem to be going through the motions, handling day-to-day tasks with faraway looks that add an emotional heaviness to the air around them.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">That\u2019s been the case for the last month, since Tyson Foods abruptly and without any heads-up announced the Jan. 20\u00a0<a href=\"https:\/\/cowboystatedaily.com\/2025\/12\/20\/a-gut-punch-nebraska-town-shell-shocked-by-tyson-closing-huge-beef-plant\/\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">closing of the town\u2019s huge beef processing plant<\/a>.\u00a0<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">About 3,200 people work at the plant, which physically, emotionally, and economically is the heart of Lexington. It\u2019s a heart many locals say has been broken from a corporate boardroom 600 miles away in Springdale, Arkansas.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cYeah, we\u2019re mad, we\u2019re sad, and we\u2019re just numb,\u201d said Vicky Martinez, who works at her family\u2019s Mexican restaurant across the road from the Tyson plant.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI think most of the town realizes how much it depends on the plant, directly and indirectly,\u201d she told Cowboy State Daily during a visit this past week. \u201cEverybody feels it. People are just really sad.\u201d\u00a0<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">For 35 years, the beef plant has been by far the largest employer and economic driver of Lexington.\u00a0<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">It opened in 1990 when Iowa Beef Packers (IBP) bought the former Sperry-New Holland farm equipment plant, which shut down in 1985.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Tyson took over when the company acquired IBP in 2001. Then it expanded, making it one of the largest beef-producing plants in the United States.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">It can produce up to 5,000 head of cattle a day, or about 5% of the overall U.S. production.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">The move to close up shop not only impacts the 3,200 people who work at the plant, but it also threatens to uproot about a third of Lexington\u2019s overall population of nearly 11,000 as families search for new jobs.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">It\u2019s also started what many around town are calling the \u201ctrickle-down effect.\u201d The local company that cleans the plant, for example, has already announced a layoff of 140 workers.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">But that\u2019s underselling the impact, community leaders say, calling it more of a \u201ctidal wave effect\u201d that threatens to wipe out businesses and industries.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Two of those critical to Lexington are the hospital and the school district.<\/p>\n<p><img class=\"_1lnx4c90 _1lnx4c93 _1lnx4c96 _1lnx4c98\" decoding=\"async\" loading=\"lazy\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/12\/Lexington-downtown-water-tower.jpg\" alt=\"About 3,200 of Lexington, Nebraska\u2019s 11,000 residents work at a huge Tyson Foods beef processing plant \u2014 for another month. News that the plant will close next month was an unexpected \u201cgut punch\u201d many fear will devastate this rural cow town.\" style=\"font-size:0\" uid=\"b78e2bd9-83f3-438b-81ad-c4a851556dbd\"\/>About 3,200 of Lexington, Nebraska\u2019s 11,000 residents work at a huge Tyson Foods beef processing plant \u2014 for another month. News that the plant will close next month was an unexpected \u201cgut punch\u201d many fear will devastate this rural cow town. (Greg Johnson, Cowboy State Daily)Mad As Hell<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Health care in rural areas like Wyoming and Nebraska has been in a nosedive over the last decade as providers can\u2019t keep their doors open to serve small populations.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\"><a href=\"https:\/\/www.bu.edu\/sph\/news\/articles\/2025\/the-loss-of-a-rural-hospital-is-devastating-for-a-local-community\/#:~:text=More%20than%20100%20rural%20hospitals,inpatient%20care%20this%20year%20alone.\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">More than 100 rural hospitals<\/a>\u00a0have been shuttered over the last decade in the U.S., according to the Boston University School of Public Health.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Lexington Regional Health Center now is at risk of becoming another casualty caught up in the wave of rural health care deserts.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">In a scathing letter to Tyson CEO Donnie King, Board Chairman John Tyson and the company\u2019s board of directors, Lexington Regional Health Center CEO Jason Douglas pulls no punches in telling Tyson what it\u2019s doing to the community.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI\u2019m watching what this means for health care access in our community,\u201d he wrote. \u201cWhen thousands of people lose employer-sponsored insurance simultaneously, the ripple effect hits our emergency department, our clinics, and our beds.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">The Tyson workers now know they won\u2019t have jobs after Jan. 20, but those employed by the hospital and school district have an axe hanging over their necks.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">With a huge drop in patients and people to care for, doctors and nurses may be next in line for Lexington layoffs. Whether they\u2019ll wait and see how the chips fall or start looking for new jobs right away isn\u2019t known.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">What is known is that the Tyson decision has turned a small town on its ear, and many like Douglas are pretty dang mad about it.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cWe built our schools, housing, and health care system around the assumption that you would be here,\u201d he wrote. \u201cAnd when the corporate math changed \u2014 when beef margins tightened and certain tax advantages ran their course \u2014 you made a spreadsheet decision \u2026 and 3,200 families in Lexington, Nebraska, became nothing more than a line item.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Douglas didn\u2019t respond to multiple requests for an interview while Cowboy State Daily was in Lexington, but his nearly 2,000-word letter to Tyson leaves no room for doubt about his feelings on the announcement.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cThe decisions you make in a boardroom in Arkansas have consequences that cascade through every aspect of life here,\u201d he wrote. \u201cI\u2019m watching what this does to a community\u2019s sense of self \u2014 the dawning realization that 35 years of loyalty, of showing up, of giving everything to your production line, wasn\u2019t enough to earn even the courtesy of decent timing.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">He goes on to point out how bad that timing was, coming a week before Thanksgiving and just before Christmas.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cYou had a choice about how to do this,\u201d Douglas wrote. \u201cYou chose the Friday before Thanksgiving. You decided to give people less than 60 days (notice). You chose shareholder value over human dignity.\u201d<\/p>\n<p><img class=\"_1lnx4c90 _1lnx4c93 _1lnx4c96 _1lnx4c98\" decoding=\"async\" loading=\"lazy\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/12\/Lexington-superintendent.jpg\" alt=\"Lexington Public Schools Superintendent Dr. John Hakonson says how many students return after the holiday break &quot;is the million-dollar question.&quot;\" style=\"font-size:0\" uid=\"84de28b2-fc2e-4889-ac33-45ff60a195b9\"\/>Lexington Public Schools Superintendent Dr. John Hakonson says how many students return after the holiday break &#8220;is the million-dollar question.&#8221; (Greg Johnson, Cowboy State Daily)What About The Schools?<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">As the local health care system is in wait-and-see mode about the true impact of the Tyson plant closure, the same is happening with the 500 people who work for Lexington Public Schools.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cWe estimate somewhere around 50% of our kids have one or both parents that work at Tyson,\u201d Superintendent Dr. John Hakonson told Cowboy State Daily.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">When the announcement came down, it also sparked a wave of speculation about how many teachers and other support personnel will have to be cut as families move away for new jobs.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Worst-case scenario is about half the district\u2019s 3,200 students (which mirrors the Tyson employment numbers), while best-case is perhaps a few hundred, which would put the district back to levels seen about a decade ago.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cThe plant\u2019s been here for 35 years, so yeah, it\u2019s multigenerational with its impact,\u201d Hakonson said. \u201cWe have grandparents that are in some of the houses, so I think there\u2019s a pull to try and stay here.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">The school district began its holiday break Friday, which means the immediate impact of Tyson\u2019s pending closure will start to show in a couple of weeks.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">How many students don\u2019t return is what the superintendent calls \u201cthe million-dollar question,\u201d but his gut says most will come back.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cWe asked (parents) to please let us know they plan on relocating over Christmas break so that we can check their kids out, make sure that we sent the student records to the right place,\u201d he said. \u201cWe\u2019ve had very few parents respond.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI\u2019m not going to be shocked if we don\u2019t have very many that will leave over Christmas, because the plant doesn\u2019t close until Jan. 20.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">After that, those workers who stick around to the end will be eligible for unemployment benefits, which will keep them in their homes longer, he said.<\/p>\n<p><img class=\"_1lnx4c90 _1lnx4c93 _1lnx4c96 _1lnx4c98\" decoding=\"async\" loading=\"lazy\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/12\/Lexington-Tyson-plant-Seasons-Greetings.jpg\" alt=\"About 3,200 of Lexington, Nebraska\u2019s 11,000 residents work at a huge Tyson Foods beef processing plant \u2014 for another month. News that the plant will close next month was an unexpected \u201cgut punch\u201d many fear will devastate this rural cow town.\" style=\"font-size:0\" uid=\"ca627c84-7f93-44a2-a66b-6d3b6425d789\"\/>About 3,200 of Lexington, Nebraska\u2019s 11,000 residents work at a huge Tyson Foods beef processing plant \u2014 for another month. News that the plant will close next month was an unexpected \u201cgut punch\u201d many fear will devastate this rural cow town. (Greg Johnson, Cowboy State Daily)Some Breathing Room<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">There\u2019s also the pull of families wanting their kids to finish out the school year in their familiar classrooms and graduate with their high school class if they\u2019re seniors.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cIt wouldn\u2019t surprise us if maybe parents will take that option (of unemployment) and try to stay here until they absolutely have no income and then have to leave to do something else,\u201d Hakonson said. \u201cIt\u2019s normal right now, it\u2019s very normal because families haven\u2019t left.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">As to the same uncertainty felt by health care workers, teachers and the school district have a little more breathing room, Hakonson said.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Schools in Nebraska are funded by student enrollment and a state payout per pupil.\u00a0<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">The student count to fund the 2026-27 school year was done in October, which means Lexington schools will be funded at current levels at least through the next school year.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cWe don\u2019t expect a big fall-off in our funding for next year, 2026-27 isn\u2019t what we\u2019re worried about,\u201d he said. \u201cI hope that we don\u2019t have to lay people off through reduction in force, though. I hope that we can absorb most of the excess staffing we might have through attrition.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">That doesn\u2019t mean all the district\u2019s teachers will hang in until the end. If they see more stable, long-term opportunities, they may take them.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI think teachers and other employees are worried about, \u2018Am I going to have a job?\u2019\u201d Hakonson said. \u201cAnd we\u2019re just telling people, let\u2019s just take it a day at a time and see how many people leave.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cWe could lose, you know, a few hundred kids and be back to where we were not that many years ago. But losing half the (student) population? That would be a different problem.\u201d<\/p>\n<p><img class=\"_1lnx4c90 _1lnx4c93 _1lnx4c96 _1lnx4c98\" decoding=\"async\" loading=\"lazy\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/12\/Lexington-Plum-Creek-Market-Place-walking-in.jpg\" alt=\"Fernada Rodriguez walks into Plum Creek Market Place. She said her entire family depends on the Tyson plant. Her father worked there for 35 years, and her aunts, uncles and brothers-in-law all still work there.\" style=\"font-size:0\" uid=\"75fcaec4-8b62-4474-816f-1332de866291\"\/>Fernada Rodriguez walks into Plum Creek Market Place. She said her entire family depends on the Tyson plant. Her father worked there for 35 years, and her aunts, uncles and brothers-in-law all still work there. (Greg Johnson, Cowboy State Daily)So Unfair<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Tyson singled out a tight beef market as one of the reasons for closing the Lexington plant, so Douglas tried to appeal to the company\u2019s bottom line in ways a corporation could appreciate.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI know that CEO King received $22.8 million in total compensation last year \u2014 a 73% increase from the year before,\u201d he wrote, citing numbers from Tyson\u2019s required filings with the Securities and Exchange Commission. \u201cI know that Chairman Tyson received $18.4 million, including nearly $3 million for personal use of the company jet.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">He said the 525-to-1 pay ratio between the CEO and average frontline Tyson worker is out of whack and that closing the gap may be a better human option than closing the plant.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cSo, when you talk about closing this plant out of necessity, what you\u2019re really saying is that you chose shareholder returns and executive compensation over the community that helped make those profits possible for 35 years,\u201d Douglas wrote.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Instead, the thousands of immigrant families that have settled in Lexington over the decades to work at the plant seeking the American dream are now living an American nightmare, he said.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cMany are immigrants who came to this country legally, following every rule, because they believed in what America promised: opportunity through hard work,\u201d Douglas wrote. \u201cThey didn\u2019t come here for handouts, they came for the chance to work.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cAnd work they did \u2014 in conditions most Americans couldn\u2019t handle for wages that required careful budgeting, building lives one paycheck at a time.\u201d<\/p>\n<p><img class=\"_1lnx4c90 _1lnx4c93 _1lnx4c96 _1lnx4c98\" decoding=\"async\" loading=\"lazy\"   src=\"https:\/\/www.newsbeep.com\/us\/wp-content\/uploads\/2025\/12\/Lexington-Tyson-truck-on-I-80.jpg\" alt=\"About 3,200 of Lexington, Nebraska\u2019s 11,000 residents work at a huge Tyson Foods beef processing plant \u2014 for another month. News that the plant will close next month was an unexpected \u201cgut punch\u201d many fear will devastate this rural cow town. A steady stream of Tyson trucks and other semitrailers roll in and out of Lexington.\" style=\"font-size:0\" uid=\"07a87b96-c316-4361-a2d1-adcdec3a99c8\"\/>About 3,200 of Lexington, Nebraska\u2019s 11,000 residents work at a huge Tyson Foods beef processing plant \u2014 for another month. News that the plant will close next month was an unexpected \u201cgut punch\u201d many fear will devastate this rural cow town. A steady stream of Tyson trucks and other semitrailers roll in and out of Lexington. (Greg Johnson, Cowboy State Daily)\u2018Deserved Better From You\u2019<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Now Douglas said he sees families around town trying to explain to their kids why Christmas this year won\u2019t be the same or why they have to move.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI\u2019m watching people wrestle with impossible choices,\u201d he wrote. \u201cDo we stay in the community we\u2019ve built hoping something else comes along? Do we uproot our children from the only schools they\u2019ve known and chase your \u2018relocation benefits\u2019 to a plant hundreds of miles away?<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cDo we leave America altogether and return to countries that are no longer home?\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">That anger and frustration laced throughout Douglas\u2019 letter \u2014 and expressed by residents all around the town \u2014 are pointed at Tyson corporate, not local management, said Hakonson.<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">\u201cI don\u2019t think that the people who work at Tyson here, any of them, including local management, knew this was coming until that day,\u201d he said. \u201cIt came as a shock to everybody.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">However the plant closure shakes out for the hospital and school district, the heads of both those entities agree on how Douglas ends his passionate plea to Tyson officials: Lexington \u201cdeserved better from you.\u201d<\/p>\n<p class=\"_1uhbe1z1 _1uhbe1z0\">Greg Johnson can be reached at <a href=\"https:\/\/cowboystatedaily.com\/2025\/12\/21\/tyson-beef-plant-closure-leaves-nebraska-towns-health-care-schools-in-limbo\/mailto:greg@cowboystatedaily.com\" rel=\"noopener noreferrer nofollow\" target=\"_blank\">greg@cowboystatedaily.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"LEXINGTON, Neb. \u2014 Many around this rural Midwest cow town seem to be going through the motions, handling&hellip;\n","protected":false},"author":2,"featured_media":364363,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[59],"tags":[97,252,253],"class_list":{"0":"post-364362","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-health-care","8":"tag-health","9":"tag-health-care","10":"tag-healthcare"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/364362","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=364362"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/364362\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/364363"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=364362"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=364362"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=364362"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}