Pittsburgh-based insurer Highmark Health will reduce its workforce by 123 employees and its provider arm, Allegheny Health Network, will lay off nearly 250 in changes announced May 21 and covered by local news outlet WPXI.
The affected Allegheny Health Network jobs are primarily in corporate and administrative functions, but include some clinical staff at community physician practices. The workforce reduction is partially tied to the COVID-19 pandemic, which has resulted in fewer patients and elective surgeries, the network said.
Of the affected Highmark jobs, 63 are tied to a recently completed IT transition. The other 60 are tied to a decrease in HM Health Solutions customers. The payer said unemployment caused by COVID-19 triggered the drop in enrolled customers.
Allegheny Health Network includes eight hospitals and more than 21,000 employees.
Highmark, an independent licensee of the Blue Cross Blue Shield Association, employs 35,000.