Long Beach, Calif.-based Molina Healthcare will lay off 268 employees in Virginia, according to a WARN notice filed May 13.
The company is closing its Richmond, Va., office effective June 30.
The layoffs come after Virginia decided not to renew its contract with Molina to manage Medicaid services. Molina managed care for 140,000 Virginia Medicaid beneficiaries.
Molina Medicaid members will be transferred to Humana’s Healthy Horizons plan effective July 1, according to a bulletin from the state. Members have a 90-day window to select a new provider if they do not wish to stay enrolled in the Humana plan.
Virginia awarded contracts to Aetna, Humana, Anthem, UnitedHealthcare and Sentara Health Plans.
