HUNTSVILLE, Ala. (WAFF) – Healthcare workers and patients are raising concerns about Huntsville Hospital’s $450 million acquisition of Crestwood Medical Center, fearing the deal will reduce competition for jobs and healthcare costs in North Alabama.
The blockbuster deal, announced last month, is expected to close early this year. Under the agreement, Crestwood will maintain its name, logo and doctors but will operate under Huntsville Hospital ownership.
A Huntsville Hospital representative said the merger will benefit patient care.
“We foresee that both hospitals will be better positioned to manage patient capacity,” the representative said.
Dana Holladay-Hollifield, an experienced nurse who has worked in multiple states, including Wyoming, Tennessee, Florida and Virginia, said she discovered significant pay disparities when she applied to Huntsville Hospital.
“As soon as I started interviewing and talking, I realized, 25% cut in pay, and that was moving from Auburn-Opelika and Montgomery. I mean I had over like 20 years of experience,” Holladay-Hollifield said.
She moved from Huntsville Hospital to Crestwood, seeking better compensation, and said healthcare workers need employment options.
“It was very important that I could go somewhere else, and at this point, if this happens, where do you go?” she said.
The Huntsville Hospital system currently owns 12 hospitals in North Alabama. With the Crestwood acquisition, all general hospitals within a 50-mile radius will be owned by Huntsville Hospital.
The Federal Trade Commission (FTC) has challenged similar hospital mergers. In 2023, nonprofit Novant Health announced a $140 million deal to buy two North Carolina hospitals. The FTC sued, saying it would reduce competition. Novant eventually backed out while the case was in court.
When asked about monopoly concerns, a Huntsville Hospital spokesperson did not address the issue directly but said the hospital’s “goal is to provide better coordinated care for our community and to enhance the workforce development and training programs for our staff.”
Social media posts about the deal have generated hundreds of comments opposing the merger.
“It’s going to affect competition, it’s going to affect just that ability to choose,” Holladay-Hollifield said.
The FTC has not responded to requests for comment about the pending deal and has not filed a lawsuit to stop the merger.
A Huntsville Hospital spokesperson said, “We are so excited about this historic investment in the health and well-being of North Alabama. Together, our goal is to provide better coordinated care for our community and to enhance the workforce development and training programs for our staff. Crestwood will remain Crestwood, with the same providers patients know and trust, supported by HH Health’s 130-year track record of serving our community.”
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