Greenwood hospital closure to eliminate 86 jobs

The upcoming closure of Kindred Hospital Indianapolis South in Greenwood will cost 86 employees their jobs, the hospital’s owner said Friday in a notice to the Indiana Department of Workforce Development.

Transitional Hospitals Corp. of Indiana Inc., which does business as Kindred, said the employees will lose their jobs during a 14-day period beginning Nov. 7. The notice said the separations are expected to be permanent, but many of the employees are likely to find new jobs with the Kindred system or when the hospital reopens, a Kindred executive said.

As IBJ reported Aug. 1, Kindred South is getting a new name and new joint ownership.

The facility at 607 Greenwood Springs Drive is being remodeled and will reopen early next year with a new name: Community Rehabilitation Hospital South. It will be owned under a joint venture between Indianapolis-based Community Health Network and Louisville-based Kindred Healthcare.

"We are pleased that we have been able to transfer the majority of the employees at Kindred Hospital Indianapolis South to other positions within the Kindred organization," Matt Keppler, executive director of Kindred Healthcare’s Hospital Division said in a written statement. "We are committed to finding positions for the remainder of the Kindred employees. Once construction is completed, the new rehabilitation hospital will look to hire as many of the current Kindred Hospital employees that are interested in working at the Greenwood location again." 

The hospital has 40 inpatient beds, and will provide post-acute care for patients with a broad range of issues related to stroke, brain injury, spinal cord injury, orthopedics, amputations and related disorders.

The Greenwood hospital—which offers specialized care to patients who need extended care after strokes, amputations and other serious conditions—has racked up financial losses in two of the past three years.

Among the employees being eliminated are 21 registered nurses and 20 respiratory therapists.

Kindred South lost $729,683 last year on revenue of $18.9 million, according to documents filed with the Indiana State Department of Health. In 2105, it had a surplus of $107,637. In 2014, it lost $1.4 million.

This will be the third joint venture between Kindred and Community. The other two are Community Rehabilitation Hospital on the Community Hospital North campus and Community Specialty Hospital in Kokomo.