Hundreds of Millions Won Daily Deficit... Hospital Faces Closure Crisis
Loss of Tertiary Hospital Designation, Prolonged Medical School Quota Increase Crisis
Suncheonhyang University Cheonan Hospital, affiliated with the medical school, which has been facing financial difficulties due to the prolonged increase in medical school quotas, has finally declared an emergency management system.
On the 1st, Suncheonhyang University Cheonan Hospital announced that due to the rapid deterioration of hospital management, it has switched to an emergency management system through fiscal tightening and operational efficiency improvements.
On the same day, the hospital held a briefing session on the current management status and the transition to the emergency management system, attended by key officials including Hospital Director Park Hyung-guk, mid-level managers, and Labor Union Chairperson Choi Mi-young.
The worsening financial difficulties of Suncheonhyang University Hospital were triggered amid large-scale projects such as the construction of a new hospital and the groundbreaking of an infectious disease specialized hospital, along with the failure to be designated as a Level 1 tertiary hospital in the 5th evaluation last December. Although the hospital has served as a regional Level 1 tertiary hospital for over 20 years, equipped with personnel and equipment, the loss of this designation led to a reduction in medical fees, causing financial difficulties in operating the large-scale personnel and equipment typical of a tertiary hospital.
Furthermore, the government's increase in medical school quotas dealt a decisive blow, forcing the closure of some wards and reducing daily patient numbers by up to 30%. The hospital attempted to improve management efficiency through unpaid leave for some staff and redeployment of medical personnel, but these measures were insufficient.
Ultimately, the hospital decided to transition to an emergency management system in cooperation with the labor union.
Hospital Director Park Hyung-guk explained, “We have been running a deficit of hundreds of millions of won daily for three months,” adding, “Not only has the completion of the new hospital and the groundbreaking of the infectious disease specialized hospital been delayed, but we are now even worried about paying wages.” He further stated, “If the financial difficulties continue for just one more month or if the emergency medical system collapses, the hospital’s existence will be immediately threatened.”
Labor Union Chairperson Choi Mi-young also said, “A life-or-death crisis has become a reality,” urging, “Before we fall into an irreversible situation, let us all come together for our survival.”
Subsequently, the hospital and the labor union issued a joint statement, pledging to work together to overcome the management crisis.
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