Health Systems’ Payrolls Expand Employment

Ranked by the number of Valley-area employees, companies on the Business Journal’s list of private-sector employers starting on page 13 cover an eclectic range of industries, from supermarkets to aerospace to entertainment. But the health care sector stands out as a large and growing employment base for the regional economy. Some of the largest private-sector employers are hospitals, and the five major medical institutions in the Business Journal’s coverage area — Kaiser Permanente Southern California, Antelope Valley Hospital, Henry Mayo Newhall Hospital, Valley Presbyterian Hospital and Los Robles Hospital & Medical Center — employ nearly 16,500 people combined. That medical field number grows another 8,455 by including Thousand Oaks pharma giant Amgen Inc. (No. 4 on the Business Journal’s list of leading private-sector employers), Northridge-based Medtronic Diabetes (No. 20) and Abbott, the Symar-based medical device maker (No. 23). Payman Roshan, area manager of Kaiser Permanente Panorama City and Antelope, said that business has been good in the past year for the nonprofit health plan, and its medical network is expanding. “We are always growing,” Roshan told the Business Journal. “We opened our new specialty services building, Santa Clarita Medical Offices 2 in March, and will be opening our new Mental Health and Wellness offices in Sylmar in early December.” Kaiser is also opening a new and improved setting for its hematology and oncology patients early next year, which will offer “a welcoming, serene setting with lots of natural light,” Roshan said. Roger Seaver, chief executive of Henry Mayo Newhall Hospital (No. 15 on the list) said that in the past year, his medical campus has rolled with the challenges of the industry. “The United States health care system is challenged to meet the needs of any population in the midst of policy debate, regulatory overhaul and a desire to improve outcomes and lower cost,” Seaver said. “Henry Mayo Newhall Hospital has met these challenges in lowering costs per patient, improving service and improving outcomes. Nevertheless, our ability to provide care within the reimbursement by government payers (Medi-Cal and Medicare) has not been achieved. “Further, some private payers will no longer recognize the excess costs they pay for the government policies that under-reimburse for required care,” he said. Last year, Kaiser reported a combined 4,569 employees in Panorama City and Antelope Valley. Year-to-year in 2018, that figure rose to 4,729 employees. At Henry Mayo, company expansion moved forward to the tune of a 2,020 staff, up from last year’s 2,001 employees. Hollywood Valley-side The largest private employers in the Valley are entertainment giants NBCUniversal (No. 6), Warner Bros. Entertainment Inc. (No. 5) and Walt Disney Co. once again topping the list with an estimated 12,000 local staffers. All the major entertainment employers reside in Burbank and nearby Universal City. Other sectors with a significant labor force include supermarkets Albertsons/Vons/Pavilions (No. 9 on the list) and Ralphs/Food 4 Less (No. 10); financial institutions Bank of America Corp. and Wells Fargo Co. (No. 7 and No. 18, respectively); tourism’s Princess Cruises in Valencia (No. 14); and aerospace contractor Northrop Grumman Corp. (No. 8) at Warner Center and Palmdale. The Business Journal also compiles a list of government employers. The perpetual topper on the list is Los Angeles Unified School District, with an estimated 15,000 Valley employees this year (see list below). Other top public sector employers Edwards Air Force Base in the Antelope Valley (No. 2) with 11,457 employees and L.A. County (No. 3) with an estimated local payroll of 10,000. Growth in workforce usually accompanies growth by other measures, such as buildings and contractor relationships. For example, Henry Mayo has created its Clinically Integrated Network with 243 physicians. “This network will collaborate on initiatives to continue to improve quality, service and efficiency of care,” Seaver said. “Collaborative health care delivered in the community and by the community will distinguish us in the Santa Clarita Valley.” On the technology front, Seaver noted, “we have initiated robotic surgery and our Wound Care Center has installed hyperbaric chambers to provide a higher level of service.” The hospital also has construction projects underway, with its new patient tower featuring 122 private patient rooms due in April. Kaiser Permanente opened the 64,000-square-foot Santa Clarita Medical Offices 2 building earlier this year. Its employment changes also involved new management with Kathy Kigerl named chief administrative officer for Kaiser Permanente Panorama City Medical Center Area. “Kathy helps to lead a team of physicians and employees serving more than 250,000 Kaiser Permanente members in the East San Fernando and Santa Clarita Valleys,” Roshan said, “and is a dedicated leader who brings extensive clinical and administrative experience.”