Payroll payments for some Steward Health Care employees were delayed Thursday just days after the company filed for bankruptcy, Steward’s president said. 

President Mark Rich in a letter to staff members near 8:15 a.m. said company officials were “aware that paychecks were not deposited today as scheduled.”

Rich said the delay was due to a processing error within a Bank of America system. He said all payroll and benefits had been funded and would begin to show up in accounts over the next 24 hours.

“We followed all of Bank of America’s procedures following the Chapter 11 filing and we were assured by them that this would not happen,” Rich said. “We know this is not an easy time for any of you and we apologize for this inconvenience.”

Rich said Steward will cover any late fees incurred by staff as a result of the payroll delay. He continued, thanking staff “for your continued commitment to our patients and communities during this tough time.”

A Steward spokesperson in comments to 7NEWS late Thursday morning reiterated that employees are getting paid. The spokesperson said Bank of America holds payroll funds and then processes the money to employees’ individual banks. 

With this payroll cycle, the spokesperson said there was a glitch with Bank of America that led to delayed payment processing for employees at “select hospitals in Massachusetts” as well as corporate employees and some physicians. 

The Texas-based Steward owns eight hospitals in Massachusetts. After months of financial uncertainty, the company filed for bankruptcy early Monday morning.

Gov. Maura Healey, later in the day, said the bankruptcy filing “is a step toward our goal of getting Steward out of Massachusetts.”

Healey and other state officials said they would be sending representatives to Texas to represent Massachusetts interested in the bankruptcy process.

In initial documents filed Monday, Steward officials said they intend to sell the more than 30 hospitals Steward operates nationwide.

In a ruling on Wednesday, a judge said Steward can pay its employees, in the meantime.

A Bank of America spokesperson addressed the situation in a statement Thursday afternoon, saying “We began the process to remove the account restrictions immediately upon receiving the order from the court.”

“This process typically takes up to two days, and our teams worked tirelessly to expedite as much as possible,” the spokesperson said. “Employees began receiving their funds this morning.”

While bankruptcy proceedings continue, state officials have said hospitals will remain open and patients should keep their appointments.

The state has also launched a hotline and website with resources for Steward patients and employees. The website is available online. The hotline can be reached at (617) 468-2189 and toll-free at (833) 305-2070.

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