Big Radiology Acquisition in Southern California Might Result in Massive Layoffs

RadNet Inc., a large medical imaging practice with over 340 locations in six states, has recently acquired Kern Radiology Medical Group Inc., a radiology center with five facilities throughout the Southern San Joaquin Valley in California. The transaction was made on January 30, according to the Bakersfield’s The Record.

Called one of the biggest outpatient medical imaging companies in the United States, Los Angeles-based RadNet Inc provides an array of imaging services. A publicly traded company, they employ 500 radiologists and have centers in New York, New Jersey, Maryland, Delaware, Florida, and California. Kern Radiology is owned by nine locally-based radiologists, and they have four clinics primarily located in Bakersfield and another in Tehachapi that include services such as mammography, fluoroscopy, and diagnostic imaging.

According to a letter obtained by The Record, the acquisition will cause the facility to lay off 173 workers by April 1. Although some of those employees might be rehired, the letter explained that they are “making no assurances that it will hire any given employee. We expect that RadNet will continue the Company’s operations.”

Those laid off workers include 54 technicians, 42 scheduling staff, 22 expediters, 12 front desk personnel, 11 employees who handle medical records, 9 nurses, and 8 administrators. Some staff might be consolidated by Truxtun Radiology, a RadNet subsidiary also located in Bakersfield.