Behavioral Health Business October 31, 2025
Chris Larson

New layoffs at the end of October reflect the downward pressures on the residential care model.

Two closures have impacted 356 employees, according to public documents. One entity will continue to operate while another appears to be heading for closure.

In Dearborn Heights, Michigan, the nonprofit, youth-focused behavioral health and social services provider Vista Maria will close its residential mental health facility and lay off 154 people, effective Dec. 19. The decision came “after extensive analysis and discernment,” a letter the organization sent to a Michigan state agency reads.

A leader of Vista Maria told local media that the residential treatment space has become more difficult to navigate and that the needs of more and more children were worsening,...

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