A health IT company said it is laying off 66 employees after a business dispute with a health system ACO.
UpStream Care, which provides technology for value-based care, said that ACO Triad HealthCare Network, a subsidiary of Greensboro, N.C.-based Cone Health, terminated their contract after the startup refused to pay "significant sums of money," according to a Worker Adjustment and Retraining Notification notice filed July 26 with the state of North Carolina.
"UpStream responded, explaining, among other things, that such sums were not owed," UpStream Chief People Officer Jane Price wrote in the notice. "Nevertheless, UpStream worked on options to try to salvage the relationship with THN. Unfortunately, THN nonetheless terminated its agreement with UpStream on June 10, 2024."
As a result, she wrote, UpStream laid off 66 staffers, including its chief medical officer, senior vice president of finance, and health equity program manager.
A Cone Health spokesperson declined to comment on the layoffs or the purported dispute.
"Triad HealthCare Network originally enlisted UpStream to provide care coordination and clinical pharmacy services to patients," the spokesperson told Becker's. "THN, with the full support of Cone Health, has taken steps to ensure patients receive the exceptional care and quality they deserve and expect."