Former Crozer Health employees who say they weren’t given enough notice over the closing of two hospitals and the loss of their jobs are entitled to claims of $1.5 million, far less than the $21 million they requested.
U.S. Bankruptcy Judge Stacey G.C. Jernigan of the Northern District of Texas was ruling on alleged WARN Act violations tied to the closures of Crozer-Chester Medical Center and Taylor Hospital, writes Kathleen E. Carey for the Daily Times.
The hospitals closed on May 2 after Prospect Medical Holdings filed emergency motions in March, citing a lack of operating funds after attempts to find a buyer failed.
Employees contend that Prospect failed to provide the 60-day written notice required under the federal Worker Adjustment and Retraining Notification Act.
Prospect has argued that patient safety would have been affected by doctors, nurses, and other staff leaving sooner had WARN notices been issued earlier.
“I’m obviously very, very sympathetic to people who lost their jobs and didn’t get the full 60 days’ notice that the federal WARN Act requires,” Judge Jernigan said, while also finding that the debtor acted in the public interest.
Read more about the events that led to the Crozer Hospital closings in the Daily Times.
Editor’s Note: This post was initially published on DELCO.Today in December 2025.
