WEST READING, PA – Tower Health has announced a key leadership transition as the organization continues to stabilize and make strides toward financial health. Current CEO P. Sue Perrotty will step down on February 23, 2025, marking four years in a role she took on during a challenging period for the health system. She will return to serve on the Tower Health Board of Directors while remaining active on other associated boards.
Michael Stern, the current President and Chief Operating Officer (COO), will succeed Perrotty as President and CEO, beginning February 24, 2025. Stern has been instrumental in the organization’s recent recovery and strategic planning efforts.
Leadership Amid Crisis
Perrotty assumed leadership of Tower Health in 2021 during a time of significant financial losses stemming from rapid expansion and the COVID-19 pandemic. Her tenure was originally intended to be temporary, but she extended her commitment to guide the health system toward a more stable future. Under her leadership, Tower Health rebuilt its financial foundation, strengthened its leadership team, and restored trust among staff and stakeholders.
“I wasn’t expecting to take on this role four years ago, but I’m glad I did,” Perrotty said. “The success we’ve seen is a credit to every staff member who, no matter their job, displays excellence in action and cares for our patients and for each other.”
During her tenure, employee satisfaction scores improved, clinical quality remained steady, and local hospitals were reaffirmed as essential parts of the communities they serve. Beyond her CEO role, Perrotty will continue her active involvement with Tower Health through her work on its various boards.
“Sue has led with integrity, compassion, and transparency,” said Tower Health Board Chair Meg Mueller. “We thank her for her tremendous impact and are thrilled she will continue to support Tower Health through her board service.”
The Road Ahead
Michael Stern, who joined Tower Health as COO in 2022 and became President earlier this year, will assume leadership during the next phase of the organization’s recovery and growth. Stern has played a key role in improving Tower Health’s performance and implementing a three-year strategic plan, which focuses on workforce stability, culture, and high-quality patient care.
“I am honored to lead this organization of compassionate caregivers and physicians,” Stern said. “Tower Health’s turnaround has been remarkable, but I understand there is still work to do to achieve our long-term goals.”
Stern has also introduced employee engagement efforts, such as Spirit Week and a Shark Tank-style pitch competition, to foster a positive workplace culture. These initiatives complement his work on increasing service volumes, leadership integration, and enhancing the quality of care.
“We are confident that Michael’s leadership will guide the organization toward continued growth, success, and service to our communities in 2025 and beyond,” said Mueller.
Tower Health’s progress under Perrotty’s leadership has been considerable, but the transition to Stern signals a focus on achieving long-term ambitions. With a clear plan and a strong foundation, the organization’s future—under Stern’s leadership—aims to meet the growing healthcare needs of the communities it serves.
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