Economic impact of Medi-Cal cuts: 36,000 jobs could be lost
Cuts to hospital-based skilled-nursing facilities have a ripple effect on CA's economy. See the graphic.
Deep Medi-Cal cuts to hospital-based skilled-nursing facilities are not just bad for patients, their families and health care providers. They also pose a risk to the state’s overall economy. The cuts could translate into a loss of up to 36,000 jobs (16,000 direct caregiver jobs, plus the ripple effect in the broader economy) and a decline of up to $2 billion in statewide economic activity. These cuts are a classic example of the state being “penny-wise and pound-foolish.”