Children’s Hospital Los Angeles is laying off 5.8% of its workforce in Southern California as part of a strategic realignment triggered by rising costs and budget cuts in Medicaid and Medi-Cal healthcare programs.

“Due to declining federal and state reimbursements, emerging policy changes affecting funding, and escalating costs of healthcare delivery, Children’s Hospital Los Angeles (CHLA) must take steps to secure the hospital’s long-term viability for millions of children in need of care,” wrote Mamoon Syed, chief people officer with Children’s Hospital in a recent letter filed with the state’s Employment Development Department .

The hospital plans to cut 439 positions out of nearly 7,550 throughout its healthcare system by Oct. 28.

CHLA chief executive officer Paul Viviano said i

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