Nurses Union Pushes Back on Asante Cuts

The Oregon Nurses Association criticized Asante leadership after the health system warned of financial strain and projected 300 or more role reductions.

MEDFORD, Ore. — The Oregon Nurses Association is pushing back after Asante President and CEO Tom Gessel told employees and medical staff that the Southern Oregon health system expects to eliminate 300 or more roles in the coming months.

The union issued a statement Monday afternoon in response to Gessel’s May 4 employee memo, which outlined Asante’s financial strain, including a $16 million operating loss for the first half of the fiscal year and a possible $50 million budget shortfall in 2027.

In its response, ONA criticized Asante executives and said the health system’s leadership is responsible for past and proposed staffing and service reductions.

“Asante executives are once again cutting caregivers and looking for someone else to blame,” ONA said.

 
 

The union pointed to previous cuts and service changes, including the elimination of 400 jobs in 2024 and the planned transition of Asante Ashland Community Hospital away from inpatient care and obstetrics. ONA also criticized Asante leadership over the departure of doctors and neonatologists.

“Now they are proposing to fire hundreds more caregivers across Southern Oregon,” ONA said. “These are not forced decisions. Asante executives are responsible for their actions.”

Gessel’s memo attributed Asante’s financial challenges to several factors, including rising expenses, declining private insurance coverage, chronic underpayment from Medicare and Medicaid, state and federal regulatory pressure, and expected Medicaid funding reductions.

ONA challenged that framing, saying Asante should not blame frontline caregivers, staffing standards, or patients who rely on the Oregon Health Plan for the health system’s financial problems.

The union also referenced nearly $1 million in fines tied to Oregon’s hospital staffing law, saying Asante executives should not blame the law or caregivers advocating for staffing protections.

“Blaming frontline caregivers who save lives and staffing standards that keep patients safe is just plain wrong,” ONA said.

 
 

HWD reported earlier today, in his memo, Gessel said Asante agrees with minimum staffing ratios but disagrees with the Oregon Health Authority’s interpretation and implementation of the 2023 hospital staffing law. He said most of the fines at Rogue Regional Medical Center were related to the lack of an approved staffing plan rather than violations of staffing ratios.

ONA said health care systems are facing real challenges, including corporatization, executive pay, and federal funding cuts from the “One Big, Beautiful Bill,” which the union said could put nearly 280,000 Oregonians at risk of losing health coverage.

However, the union said cutting staff and reducing care would make those problems worse.

ONA called on Asante executives to return to the bargaining table with nurses and techs to work on solutions focused on patient care, caregiver retention, and community health.

“If Asante executives are serious about addressing these challenges, they should stop stalling and sit down at the bargaining table with nurses and techs to work on real solutions that protect patients, retain caregivers and put our community first,” ONA said.

The Oregon Nurses Association said it represents more than 25,000 nurses and health care professionals across Oregon.

Cover image: AI generated.

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Brian Gailey

Brian Gailey is a journalist, entrepreneur, and communications professional with more than 15 years of experience covering local news, public policy, and complex community issues across Southern Oregon and Northern California. His reporting has focused on accountability, transparency, and the real-world impacts of decisions made at the local and regional level.

Beyond journalism, Gailey brings a background in business strategy, marketing, and media consulting. He is the founder and publisher of HiveWire Daily, where he combines editorial experience with a modern, digital-first approach to local news—prioritizing accuracy, balance, and accessibility in an evolving media landscape.

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Asante Warns of $50M Shortfall