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Kindred to close acute care hospital in downtown Hammond as part of Franciscan Health downsizing
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Kindred to close acute care hospital in downtown Hammond as part of Franciscan Health downsizing

Kindred to close acute care hospital in downtown Hammond as part of Franciscan Health downsizing

Kindred Hospital Northwest Indiana, which was on the fifth floor of Franciscan Health Hammond, will be closed.

Kindred Hospital Northwest Indiana plans to shut down in downtown Hammond and lay off 110 workers.

The acute care hospital on the fifth floor of Franciscan Health Hammond will permanently close since Franciscan Health is significantly downsizing its hospital, demolishing most of it so it will only be about one-tenth of the size as it shifts care to the suburbs and telehealth.

Louisville-based Kindred Hospital, which offers long-term acute care, inpatient rehabilitation and behavioral health services, notified the Indiana Department of Workforce Development with a Workers Adjustment Retraining Notification act or WARN notice that it would shut down operations in Hammond and lay off 110 people there. 

"This is to notify you that Triumph Hospital NW Indiana, L.L.C. d/b/a Kindred Hospital Northwest Indiana, 5454 Hohman Avenue, 5th Floor, Hammond, Indiana 46320, has made the difficult decision to close its entire Hospital," Hospital Division Vice President Matthew Keppler wrote in a letter to the state.

Franciscan Health will destroy its home in Hammond.

"Kindred Hospital Northwest Indiana is located on the campus of Franciscan Health Hammond," Kepler wrote to the Indiana DWD. "Franciscan previously announced an upcoming significant reduction of their building that will eliminate the space occupied by Kindred. As a result of the Kindred Hospital Northwest Indiana closure, all positions at the Hospital will be eliminated. Employee separations in connection with the transaction are expected to commence during the 14-day period starting on October 10, 2021. This action is expected to be permanent."

A variety of medical professionals, including nurses, certified nursing assistants, case managers, dietitians, physical therapists and occupational therapists, will lose their jobs. The cuts include everyone at the hospital, including the administrative staff and chief executive officer.

Franciscan Health did not immediately return requests for comment.

The Mishawaka-based health care system also warned the state it would lay off 83 workers as a result of the downsizing, which will shrink the nine-story former St. Margaret Hospital down to just six beds as a result of a decline in overnight stays and a shift to telehealth during the coronavirus pandemic. Most of the employees are moving to Franciscan's Dyer and Munster hospitals.

Franciscan Health also recently closed the Lake Ridge Health Center in Griffith and the Franciscan Physician Network clinic at 300 W. 80th Place in Merrillville.


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Joseph S. Pete is a Lisagor Award-winning business reporter who covers steel, industry, unions, the ports, retail, banking and more. The Indiana University grad has been with The Times since 2013 and blogs about craft beer, culture and the military.

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