Lab Closure Means Layoffs for 55 Workers

Providence Saint Joseph Medical Center will lay off approximately 55 people in late October, according to a notice provided to the state’s Employment Development Department. Most of the employees affected will be from its Burbank location. The reduction in workforce is due to California Laboratory Associates, a commercial lab service exiting the Los Angeles market, said Providence in a statement. California Laboratory Associates was created in 2011 to provide lab services to medical practices and hospitals in the San Fernando Valley area. The company was created by Pathology Associates Medical Laboratories, a laboratory firm jointly owned by Providence and Catholic Health Initiatives, a Colorado-based health care system. In February, Pathology Associates was acquired by Laboratory Corp. of America Holdings, a publicly traded company based in North Carolina. The 55 affected employees work for California Laboratory Associates. “We are proud of the work these caregivers have done in support of CLA in the past,” said Patricia Aidem, spokeswoman for Providence. “Providence will work with these caregivers by providing resources as they transition to new roles – within Providence, if possible, and outside the organization.”