Stephenson, Grady Negotiate Smaller Severance Package

By Odette Yousef

Atlanta, GA – Grady Health System's interim Chief Executive Officer, Pamela Stephenson, will leave the position on September first, with a much less favorable severance package than originally planned.

On Monday, the Board announced that Michael Young, a hospital CEO in Buffalo, New York, would become Grady's new CEO. It also announced the terms of an agreement for the departure of acting CEO Pamela Stephenson, which Board Chairman Pete Correll called fair.'

CORRELL: She will be paid 3 months' severance in return for her working with the new CEO to ensure a smooth transition of the responsibilities.

Three months' severance is $150,000. Add that to what Stephenson will have earned over her 7 months as acting CEO and the bonus she's expected to receive, and she'll have earned $675,000.

That's far less than the $1.2 million that Stephenson was due under a contract approved by the Fulton-DeKalb Hospital Authority, before the new Board of Directors assumed management.

Stephenson declined to speak with reporters. She continues to be vice Chair of Grady's Board of directors, and Chair of Grady's Board of Trustees.