The Michigan Nurses Association has filed a federal lawsuit after Sturgis Hospital abruptly ceased operations on June 19, alleging unionized nurses were given only three days notice before the closure. The complaint, filed last Friday, contends that roughly 50 full-time employees lost their jobs and that 17 registered nurses represented by the MNA are owed back pay and benefits. Staff say the sudden shutdown left them without pay or access to health insurance while they scramble for new work.
What the lawsuit says
Court filings show the Michigan Nurses Association filed the complaint in U.S. District Court last Friday, seeking back pay and benefits for each affected nurse, according to the federal docket on Justia Dockets. News Channel 3 reported the union says it was informed on June 16 that Sturgis Hospital would stop seeing patients on June 19, a notice period the complaint says falls far short of the 60 days required by law. News Channel 3 identified roughly 17 MNA-represented RNs among the affected staff.
What the WARN Act requires
The Worker Adjustment and Retraining Notification (WARN) Act generally requires employers with 100 or more employees to give at least 60 days written notice before a plant closing or mass layoff, according to guidance from the U.S. Department of Labor. The statute includes narrow exceptions, such as the faltering company and unforeseeable business circumstances defenses that employers sometimes invoke to justify shorter notice. The MNA's complaint argues Sturgis Hospital does not qualify for those exemptions and asks the court to make affected nurses whole for the notice shortfall.
Hospital statement and local impact
Sturgis Hospital posted a June 16 announcement saying leadership and the board had explored acquisitions and partnerships but could not find a sustainable path forward, and that the facility would stop seeing patients at noon on June 19. Sturgis Hospital cited years of declining reimbursement, rising costs and falling patient utilization as reasons for the decision. MNA Executive Director Janella James told Becker's Hospital staff were given "just 72 hours," and that some nurses still had not received final paychecks or access to COBRA.
Where patients and staff are headed
The closure shuttered the emergency department, surgery and outpatient clinics and forced patients to seek care at nearby hospitals and clinics. Beacon Health System said it stands with the Sturgis community and noted Three Rivers Health is the nearest full-service hospital for many residents in the area, according to Beacon's statement. Beacon Health System said local providers and officials are coordinating patient transfers and medical-records access while staff searches for new employment.
Legal stakes and next steps
The MNA's suit asks the court to order back wages and benefits for each of the 17 unionized registered nurses for the period that notice was lacking. Employers found liable under WARN can be ordered to pay back wages, benefits and civil penalties, and they often respond by arguing statutory exceptions or disputing whether they meet WARN's coverage thresholds under the law. The union's filing urges the court to reject those defenses, and Becker's Hospital reports the MNA says affected nurses suffered significant hardship from the abrupt shutdown.
The case is docketed in the U.S. District Court for the Western District of Michigan under case number 1:2026cv02052; at this stage no hearing has been scheduled. We will update this story as court filings and local responses develop.
