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Philly-area hospitals face an epic wage inflation surge, causing losses in the millions

Only two Philadelphia-area health systems made money during the first three months of 2022. Soaring labor costs, falling patient volume and lower revenues create a perfect storm for hospitals.

The University of Pennsylvania Health System had a rare quarterly loss in the first three months of the year, as high labor costs and omicron service disruptions hit the nonprofits operating income. Penn Presbyterian Medical Center is shown here in March 2020, as the hospital prepared for a surge of patients during the first coronavirus wave.
The University of Pennsylvania Health System had a rare quarterly loss in the first three months of the year, as high labor costs and omicron service disruptions hit the nonprofits operating income. Penn Presbyterian Medical Center is shown here in March 2020, as the hospital prepared for a surge of patients during the first coronavirus wave.Read moreYONG KIM / Staff Photographer