Nonprofit health insurance company Medica has laid off 162 employees.
The job cuts represent about 6% of Medica's workforce of roughly 3,000 staff members.
Minnetonka, Minnesota-based Medica declined to provide details on specific positions affected, but a company spokesperson said Monday the layoffs were spread across its offices and that staff received severance packages and outplacement assistance.
“We made the difficult decision to reduce our workforce to align our resources with business priorities. Our commitment to high-quality, affordable healthcare for our members includes how we staff our health plan to best deliver on this commitment,” the spokesperson said in a statement. The layoffs went into effect on Thursday last week, the spokesperson said.
The job cuts at the insurance company were first reported Thursday by Minnesota-focused publication Bring Me The News.
Medica provides employer, individual, Medicaid and Medicare coverage to about 1.5 million customers. Its footprint spans 12 states: Minnesota, Arizona, Illinois, Iowa, Kansas, Missouri, Nebraska, North Dakota, Oklahoma, South Dakota, Wisconsin and Wyoming. In addition to its headquarters office and a fulfillment center, the company has six regional offices, according to its website.
In January, nonprofit insurance company Blue Shield of California said it was laying off 140 workers, or 2% of its staff. Last September, Centene said it was cutting more than 3% of its workforce, or about 2,000 employees.