A statement this morning from COHSL, the operating company of Dunstan Hospital, said it was "with regret'' that Ms Penno had decided to resign.
"Unfortunately the family issues that have kept chief executive Karyn Penno away from work recently have not resolved, so it is with regret she has made the difficult decision to resign from COHSL."
Ms Penno said: "Our organisation and our community deserve the full focus and attention of the chief executive. I can’t deliver that at the moment because I need to put my family first. I’m incredibly proud of what we’ve achieved together over the last few years, and look forward to seeing what the future brings."
COHSL chairman Allan Kane said the board regretted Ms Penno was unable to continue as chief executive, but "understands her need to prioritise her family''.
''The excellent reputation that Dunstan has built for compassionate care is due to the team that Karyn has so ably led for the past seven years. I am pleased that we will not be losing her services completely.”
Ms Penno would continue to be involved with key COHSL projects until a replacement was appointed, Mr Kane said.
Dunstan Hospital director of nursing Debi Lawry has been appointed as acting chief executive, effective immediately, while the board seeks a replacement.
