Aetna to slash 6,000 jobs

Monday, December 31, 2001

HARTFORD, Conn. - Aetna U.S. Healthcare is slashing 6,000 jobs, or 16% of its work force, saying it did not need as many employees given lower membership levels and the com-pany's withdrawal from certain markets. CEO John Rowe blamed the downsizing on the company's withdrawal from certain Medicare and HMO markets and a decrease in membership levels due to a rising cost of coverage that better reflects the increasing cost of medical care. In December 2000, Aetna undertook a similar restructuring, announcing plans to slash 5,000 jobs as it withdrew from Medicare coverage.

Arizona HME association is back up and running
PHOENIX, Ariz - Five years after their state association closed down, Arizona suppliers are back in business. The Arizona Medical Equipment Suppliers Association (AZMESA) formed this fall and has begun selecting an interim executive commitee. The interim president is Craig Harris of Sierra Vista Regional Health Center. Also a member of the executive committee is Wade Hendrickson, of the Midwest Association for Medical Equipment Services, who has helped form the association. The executive director is Rose Schafhauser, of Stillwater, Minn.

Doctors group creates 'one-stop-shop'
ST. LOUIS - Nine orthopedic surgeons - trying to improve patient care, convenience and generate additional revenue - have invested $2.3 million to create a one-stop-shop outpatient center that includes durable medical equipment. The group's new 56,000-square-foot location includes physician offices, examing rooms, an imaging center and an outpatient surgical suite. The doctors plan a joint venture with Goldsmith Medical Co., an HME provider that will open a retail store in the office.