Medicare Cuts Could Threaten NJ Jobs, Says New Report
A new report finds Medicare spending cuts mandated by the Budget Control Act of 2011 will result in the loss of almost 22 thousand healthcare jobs in the Garden state over the next 9 years.
The report, produced by Tripp Umbach – a firm specializing in economic impact studies – was released today by the American Hospital Association, the American Medical Association and the American Nurses Association at a press conference in Washington, D.C.
New Jersey Hospital Association President and CEO Betsy Ryan says “these cuts would have a significant impact on the well-being of our hospitals, their patients, their communities and the entire Garden State economy, the healthcare community recognizes the importance of reducing the nation’s deficit, but hospitals have already been forced to absorb billions in Medicare cuts under the Affordable Care Act. These additional cuts would go far too deep into a critical component of our safety net and our economy.”
Under the Affordable Care Act, New Jersey hospitals have seen their Medicare payments cut 4 and a half billion dollars over 10 years, with nationwide cuts totaling 155 billion.
The report – which projects a total of 766 thousand jobs would be lost nationally if the cuts go into effect – estimates that in 2013 – the first year of the so-called “sequestration” cuts – about 14 thousand,126 jobs will be lost in New Jersey and 496 thousand nationwide. The report found that the job losses will affect many economic sectors beyond healthcare.
The Tripp Umbach report and other resources are available at www.aha.org/jobs