Officials with the Elks Rehab System in Boise have sent letters to local mayors announcing layoffs associated with St. Luke’s takeover of Elks facilities. Elks officials say significant financial and operational challenges are forcing it to hand over its operations to the Idaho healthcare giant.
Elks sent letters dated July 31 to the mayors of six cities where Elks operates. In the correspondence, Elks says the September 30 closure of its facilities will result in approximately 516 layoffs, which is all of its employees.
But the letter also says St. Luke’s plans to hire at least 80 percent of those workers back. If those projections hold, the changes would result in a net loss of about 100 jobs in Boise, Meridian, Eagle, Nampa, Caldwell and Ontario.
Meanwhile, the Attorney General’s office has signed off on what it says it considers an acquisition. The state did so, though, only after making Saint Luke’s agree not to buy any other Boise physical medicine and rehab operations for two years.
St. Luke’s will take over the Elks Rehab System on October 1.
Copyright 2014 Boise State Public Radio