EmblemHealth, the $10 billion New York-based health insurance plan, informed its IT staff this week that 250 workers would face layoffs as it outsources operations to Cognizant.
“Our recent financial challenges have been well-documented,” said EmblemHealth chief executive officer – and former AHIP CEO – Karen Ignagni, in a video message to IT workers.
The insurer saw a combined net loss of $113 million last year in 2015, and $485.8 million the year before, according to Crain’s New York Business.
In the video, Ignani said one fact highlighted as the health plan works toward a turnaround is that “we could no longer ignore our outdated technology platform or the manual processes associated with it.”
EmblemHealth worked for months doing an “intensive assessment” of whether to acquire new technology or partner with an organization “that has the resources and capabilities to keep up with changes that happen almost daily in the technology field,” she said.Read More On www.healthcareitnews.com