The layoffs would represent about 1% of its total workforce.
Tenet shares took a hit in trading yesterday after it was reported that the company was ending a process to sell itself. The company has been implementing cost-cutting strategies in an effort to reduce its $15 billion in long-term debt.
Tenet expects pre-tax restructuring costs of about $40 million in the fourth quarter related to severance payments that will begin in the upcoming quarter.
The company expects to save about 75% by eliminating its regional management layer. The company also plans to renegotiate terms with vendors and suppliers.
Tenet shares rose 3.81% Friday.
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