Blue Shield of California to lay off 140 workers
The decision reduces administrative costs amid economic headwinds, company says.
Photo: SDI Productions/Getty Images
Blue Shield of California is reducing its staffing by 140 positions, or about 2% of the workforce.
"As a nonprofit health plan, Blue Shield of California is driven by its mission to provide access to quality healthcare that's sustainably affordable for all. This includes reducing administrative costs, operating efficiently, and ensuring we have the right talent, skills, and capabilities in place. With that in mind and the economic headwinds we are now facing, we have decided to reduce our staff by 140 positions, or about 2% of the workforce," the company said by statement.
The affected employees have been offered assistance through a program that allows them to stay on the job for up to 90 days while engaging in job search and skills training activities with the support of a certified professional career coach, the company said.
WHY THIS MATTERS
Blue Shield was required to submit its layoff plans in advance to the state of California in a system labeled WARN, Worker Adjustment and Retraining Notification.
The layoffs will be in several counties, including Alameda, El Dorado, Los Angeles, Sacramento, San Diego, San Joaquin and Shasta.
The layoffs are permanent and are expected to happen by the end of January.
THE LARGER TREND
Kaiser Foundation Hospitals announced 153 layoffs in California, according to the WARN document. These layoffs are effective on January 4.
Twitter: @SusanJMorse
Email the writer: SMorse@himss.org
