HOWLAND, Ohio – Insight Foundation Hillside officially announced that 143 employees at Insight Rehabilitation Hospital Hillside were furloughed Friday.

“It is our hope that this work suspension will last less than six months and thus would not trigger obligations under the Worker Adjustment and Retraining Notification Act,” the notification says. “However, due to unforeseen business circumstances, we cannot guarantee when or if employees will be recalled. Insight, therefore, is sending this notice pursuant to WARN.”

The notification says Steward Health Care System abruptly discontinued payments to Insight required under its bankruptcy proceedings. Insight claims it was notified by Steward on March 21 that it would not be releasing significant funds, leaving Insight unable to meet obligations such as payroll and vendor payments.

Insight Foundation Hillside is the nonprofit organization set up by Insight Health Systems to operate the hospital after it acquired it from Steward. 

Steward filed for Chapter 11 bankruptcy May 6, 2024, and the restructuring process remains ongoing in a Houston federal court. Insight Health acquired the former Hillside Rehabilitation Hospital in Howland and Trumbull Regional Medical Center in Warren in late October. 

“Insight has been diligently attempting to negotiate and secure the release of these funds but has come to the conclusion that it cannot continue to operate until it is able to obtain additional funding from other sources,” the notification reads.

The employees at Hillside, which employs mostly registered nurses, nursing assistants and physical and occupational therapists, are represented by two unions – AFSCME, Ohio Council 8, and the Ohio Nurses Association/AFT.

Insight announced Thursday that the emergency room at the Warren hospital had closed, and all inpatient and outpatient services at both the Warren and Howland hospitals had been “paused.”

On Friday, Tom Connelly, president of ASFCME Local 2026, issued a statement saying the union had learned that Insight had discharged administrators at the Warren hospital.

Pictured at top: Insight Rehabilitation Hospital Hillside in Howland.