Ark. Hospital Firm Trims 401(k) Match

An Arkansas hospital company has trimmed its 401(k) match as part of a general cost-cutting effort.

A Northwest Arkansas Times news report said Washington Regional Medical Center announced plans to cut the match from 6% to 5%, cut pay for its 2,150 workers by 2.9%, and decrease salary for executives by 3%.

The company also halted its 2009 bonus program, the news report said.

In a letter from WRMC CEO Bill Bradley to employees of the hospital and its related system of clinics and other facilities, Bradley wrote that WRMC “must confront a ‘perfect storm’ of issues that have been compounded by or are directly attributable to the current economic crisis.”

The announced pay and benefits reductions took effect February 1.

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