Brattleboro Memorial Hospital and a union representing its 280 support staffers have signed their first contract, avoiding a threatened walkout amid a projected $14.5 million annual budget shortfall.

The two-year agreement with Brattleboro Healthcare United workers, announced Thursday, comes a month after management at southeastern Vermontโ€™s main health care provider successfully negotiated a separate contract with the 160-member Brattleboro Federation of Nurses.

โ€œThese agreements recognize the hard work and dedication of our employees while also reflecting the realities facing healthcare organizations across the country,โ€ Dr. Tony Blofson, one of the hospitalโ€™s two acting co-CEOs, said in a statement.

Unions for both the nurses and support staff had earlier voted for a potential strike โ€œif necessaryโ€ after the hospital proposed curbs on salaries and benefits to help balance its current $130 million annual operating budget.

The hospital went on to withdraw its planned wage cap for nurses and to raise the minimum hourly pay rate for support staffers to $18 immediately and at least $19 in October, according to the unions.

โ€œWeโ€™re excited to finally have a first contract in place and to get back to what we do best: providing excellent patient care for our community,โ€ Kelsey Bean, a phlebotomist and member of the Brattleboro Healthcare United bargaining team, said in a statement.

The hospital and its workers began contract talks last year, only to pause in the fall when state regulators questioned the accuracy of the hospitalโ€™s current budget โ€” a move that led to the discovery of the $14.5 million deficit and to the exits of the hospitalโ€™s chief executive and chief financial officers.

Talks resumed this year, at which time employees threatened to walk out.

In their statement, Blofson and fellow acting co-CEO Elizabeth McLarney said the hospital โ€œremains focused on reducing its budget deficit through careful financial management, operational efficiencies, and continued efforts to strengthen patient volumes and services.โ€

This story was republished with permission from VtDigger, which offers its reporting at no cost to local news organizations through its Community News Sharing Project. To learn more, visit vtdigger.org/community-news-sharing-project.