Steward Health Care, a physician-led hospital operator in the U.S., filed for bankruptcy early Monday morning. The health care network, which is one of the largest employers in Massachusetts, stated that it will continue to operate its 32 hospitals while undergoing financial restructuring under court supervision. Steward is still working on finalizing the terms of the $75 million bankruptcy.
Despite facing a financial crisis that could impact several Massachusetts hospitals, Governor Maura Healey recently criticized Steward Health Care as a “house of cards and a charade.” She expressed frustration with the for-profit health care system and called on patients, physicians, employees, and communities to be vigilant during this time.
Despite the bankruptcy filing, Dr. Ralph de la Torre, CEO of Steward Health Care, emphasized that the company has been striving to operate successfully in a challenging health care environment. He stated that filing for Chapter 11 restructuring is in the best interest of patients, physicians, employees, and communities. Steward assured that there should be no disruptions in patient care during this process.
Health and Human Services Secretary Kate Walsh announced that the Healey-Driscoll administration is collaborating with Steward and potential partners to facilitate an orderly transfer of ownership. The goal is to protect access to care, preserve jobs, and stabilize the health care system in Massachusetts.
