Sentara Health plans to lay off 200 employees, mainly in its insurance division, due to a decline in Medicaid membership.
The health system said following Medicaid redeterminations, Sentara Health Plans' Medicaid membership went down by 16%, or more than 115,000 members.
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"These workforce adjustments align our staffing levels with our health plan membership," a spokesperson for Sentara Health said Monday.
The Norfolk, Virginia-based health system said it is working to find other roles internally for employees affected by the layoffs, which affect less than 1% of its 34,000 employees. It said leadership roles accounted for 40% of the layoffs.
Sentara Health is comprised of 12 hospitals in Virginia and North Carolina as well as its health plans division, which has more than 1 million members in Virginia and Florida.