3,400+ California Healthcare Workers Laid Off Since Mid-March, Second Wave of Hospital Cuts
Issue
California hospitals have laid off more than 3,400 healthcare workers since mid-March 2026, with 1,600 coming from Santa Barbara to Orange County and the Inland Empire. Hospital executives warn of a second wave of layoffs as H.R.
1 continues to phase in Medicaid funding reductions over the next several years. The cuts affect Medi-Cal coverage for 15M+ residents including 1.6M undocumented immigrants.
An estimated 289,000 Medi-Cal members may lose coverage by June 2026, rising to 400,000 by 2029-2030. St. John's Community Health (28 clinics, 144K patients across LA/Riverside/SB) warns of extreme state and federal cuts impacting services.
Key points
- 3,400+ healthcare workers laid off since mid-March — second wave of H.R. 1 impacts
- 1,600 layoffs from SB to OC and Inland Empire alone
- St. John's CHC (28 clinics, 144K patients in LA/Riverside/SB) warns of 'extreme cuts'
- 289,000 Medi-Cal members may lose coverage by June 2026
Sources for this story
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Affected FQHCs
Part of
- Safety-net workforce and capacity shifts
Layoffs and hiring freezes
FQHC Talent. (2026, March 22). 3,400+ California Healthcare Workers Laid Off Since Mid-March, Second Wave of Hospital Cuts. Source: Orange County Register. Retrieved October 6, 2026, from https://www.fqhctalent.com/intel/ca-hospitals-3400-layoffs-second-wave-march-2026