32 payers cutting jobs | 2025

Payers are trimming their workforces and cutting jobs due to financial or operational challenges, along with contract losses.

Advertisement

Below are workforce reduction efforts or job eliminations that were announced or take effect in 2025. Insurance industry layoffs in 2024 are here.

Editor’s Note: This is not an exhaustive list. This webpage was updated Dec. 1 and will continue to be updated this year.

  1. Arkansas BCBS began offering “an early-out option to eligible employees,” according to a statement shared with Becker’s Dec. 1. The insurer did not confirm how many employees received the offer. The company laid off about 75 employees, or around 2% of the company’s workforce, in March.
  2. MDwise, part of McLaren Health Care, is laying off 238 employees in January 2026 and will close its office in Indianapolis, according to regulatory documents filed in November.
  3. Providence Health Plan saw layoffs announced in November amid a system-wide reduction in force. The insurer also laid off about 4% of its workforce in May, citing “strong financial headwinds and challenges.”
  4. Cigna’s Evernorth Care Group said in November it is laying off 143 employees across multiple facilities in Arizona. Evernorth also laid off 62 employees in New Jersey in July.
  5. Optum said in October that it is laying off 572 workers throughout New Jersey in early 2026. The company also laid off 231 employees in the state earlier this year.
  6. PacificSource cut roughly 300 positions across four states after losing a Medicaid contract that covered about 100,000 members in Lane County, Ore.
  7. Point32Health, the parent company of Harvard Pilgrim Health Care and Tufts Health Plan, laid off 254 employees in October. The company also eliminated 110 positions in March.
  8. Blue Shield of California has cut more than 400 jobs across three rounds of layoffs this year.
  9. Aetna will lay off 72 remote employees between Dec. 2025 and March 2026 after the company was not selected for a new contract to support beneficiaries dually eligible for Medicare and Medicaid in Ohio. The company also laid off more than 600 mostly remote employees from its Hartford, Conn. headquarters starting in 2024, which continued through June 2025.
  10. BCBS Massachusetts offered a voluntary separation program to about 18% of its employees, or around 800 people, a company spokesperson told Becker’s in October.
  11. Sentara Healthcare laid off more than 200 employees in multiple states as the health system’s insurance arm scales back on Medicare Advantage offerings.
  12. Blue Cross North Carolina said in October it is offering voluntary separation packages to eligible employees.
  13. UCare exited the Medicare Advantage market for 2026, a move that impacted 9% of its workforce. The company also laid off 80 employees, or around 5% of its workforce in September. The company plans to wind down all operations in 2026 and sell its assets to Medica.
  14. Independent Health cut 59 jobs across multiple departments in August.
  15. Louisiana Blue laid off an unspecified number of employees in August.
  16. Humana offered a voluntary early retirement buyout in July to some of its employees within certain parts of the company and under specific eligibility criteria.
  17. CareOregon laid off 80 employees and eliminated 70 empty positions in July in  response to financial headwinds.
  18. Geisinger Health Plan said in July it is eliminating nearly 100 positions as part of a restructuring program aimed at stabilizing operations.
  19. Independence Blue Cross offered buyouts to an unspecified number of employees in July.
  20. BCBS Tennessee is winding down operations at its subsidiary Shared Health, a move that affected 150 employees.
  21. WPS Health Insurance laid off 51 employees in Madison and Monona, Wis. due to competitive pressures, starting in September. The company also laid off 313 employees in January due to competitive pressures and federal contract losses.
  22. Molina Healthcare laid off 268 employees in Virginia by the end of June after the state did not renew its Medicaid contract with the company.
  23. BCBS Michigan offered buyouts to more than 700 employees in January as it targets hundreds of millions of dollars in administrative cuts. In June, the company said more than 500 employees accepted the offer. The insurer has also insurer eliminated more than 600 positions, of which 400 were unfilled.
  24. Devoted Health laid off 120 employees in May.
  25. Elevance Health’s Carelon is ceasing operations in Ireland and will lay off 300 employees in Limerick before the end of 2025.
  26. Carle Health laid off 612 employees within its insurance division in July following the Urbana, Ill.-based system’s announcement that its Health Alliance and FirstCarolinaCare subsidiaries would stop offering all insurance plans after 2025.
  27. Blue Cross of Idaho laid off 135 employees after the loss of a state D-SNP contract.
  28. UnitedHealthcare offered some employees buyouts if they left their job by March 3. The company did not confirm how many employees have received an offer, but across social media, employees said at least 30,000 people were offered a buyout in February.
  29. University of Michigan Health Plan is shutting down after 2025 and will lay off 192 employees in East Lansing between Dec. 31, 2024 and February 2026.
  30. Highmark Health laid off 208 employees in Pennsylvania and New York in January at its subsidiary enGen.
  31. GuideWell, the parent company of Florida Blue, laid off 3% of its workforce across 29 states.
  32. Government Employees Health Association (GEHA), a federal employee health plan provider, terminated 453 employees in Lee’s Summit, Mo. between Dec. 31, 2024 and April 13, 2025.
Advertisement

Next Up in Workforce

  • Arkansas Blue Cross and Blue Shield has started offering “an early-out option to eligible employees,” according to a statement shared…

  • AHIP published its state-by-state report on health coverage Nov. 12, which includes the average salary for health insurance industry employees…

Advertisement

Comments are closed.