Albuquerque, N.M.-based Presbyterian Healthcare Services will end most of its Medicare Advantage plans in 2027 and lay off about 150 health plan and administrative employees, a spokesperson for the health system confirmed to Becker’s.
The changes will affect about 30,000 health plan members, who will need to find new coverage for 2027. Coverage for 2026 will remain unchanged.
Presbyterian will continue to offer its Medicare Advantage Dual Plus Special Needs Plan, which serves about 13,000 people who receive Medicare and Medicaid benefits, according to the Albuquerque Journal.
“Presbyterian is focused on where we can make the greatest difference: delivering high-quality care, expanding access and staying a strong, independent healthcare system for New Mexico,” the system said in a statement provided to Becker’s. “For Presbyterian, continuing in this market would limit our ability to invest in the care, workforce and access to serve New Mexicans where they need us most.”
The layoffs affect health plan and administrative roles only. Direct patient care roles will not be affected.
“Hiring and expanding clinical positions is our greatest need — we are actively trying to fill about 870 open clinical positions across our hospitals and clinics,” the system said in a statement.
The move follows a Fitch Ratings downgrade of Presbyterian’s credit rating to “AA-” from “AA” in February. The ratings agency cited several years of weak operating performance, persistent cash-flow pressure, rising medical costs and labor market challenges. The system’s outlook remains negative.
Despite those pressures, Fitch said Presbyterian’s financial profile remains healthy. The system is the market share leader for acute care services in the Albuquerque metro area, capturing 48.4% of inpatient admissions in 2025. Presbyterian Health Plan has more than 540,000 members and is New Mexico’s largest Medicaid managed care plan.
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