GALVESTON, Texas -- The University of Texas Medical Branch in Galveston, heavily damaged by Hurricane Ike, began notifying 3,800 workers on Tuesday that they will be laid off.

The layoffs are part of work force reduction authorized last week by the University of Texas System Board of Regents, which said it was forced to make the job cuts because the teaching hospital was running out of money. The regents authorized the elimination of up to 3,800 full-time jobs.

UTMB is expected to complete notifying faculty and staff members about who will be let go by Nov. 24. Most are expected to receive a salary and benefits package.

"It's rough on me because I'm so close to retirement, and looking for another job is not what I wanted to do. And I love it here. I love my job. I love what I do. I need it for the insurance, mostly," said Dianna Braselton as she choked back tears.

"I would say people are, to some extent, on edge … a lot of sadness, a lot of uncertainty," UTMB spokesman John Koloen said. "Everybody is kind of nervous about it and I don't think really a whole lot of people want to be here today to get the bad news or to give the bad news."

Ike caused about $710 million in losses to UTMB when it hit the island in September and officials have said that only about $100 million of the damage is covered by insurance.

"The cuts are going to hit everybody," Koloen said. "I think very few, if any, departments that are spared."

Classified employees will receive 60 days notice with full salary and benefits, officials said, and professional employees will receive a minimum of 60 days notice with full salary and benefits. Nontenured faculty will receive six months notice with full salary and benefits, and tenured and tenure-track faculty will receive notice with full salary and benefits through Aug. 31, 2009, the end of the fiscal year.

UTMB has been losing about $40 million a month since Ike. Much of the incurred losses were due to UTMB paying employees who had no place to work.

UTMB has approximately 12,000 employees. The layoffs are expected to save millions of dollars each month.

Some medical students said they were worried about their future. Hospital officials said third- and fourth-year students are all over Texas doing their clinical work while first- and second-year students are back in the classroom.

"Deciding to come down here to go to school and now maybe I'll be shipped off somewhere to do rotations in third- and fourth-year," student Matt Kohlnhopher said. "Maybe not. Maybe I'll stay here and not get as good of an education with lesser exposure and things like that."

UTMB is opening two employee help centers, one at 20740 Gulf Freeway in Webster and the other on the second floor of the UTMB administration building. They are open from 8 a.m. until 5 p.m. Monday through Friday.

St. Joseph's Medical Center is holding a job fair on Wednesday for laid off UTMB employees and unemployed Houstonians. Interviews will take place on the spot at the hospital at 1401 St. Joseph Pkwy. from 10 a.m. until 4 p.m.