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Blue Cross of Idaho to lay off 135 employees this summer following contract loss

Blue Cross Campus
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MERIDIAN, Idaho — Blue Cross of Idaho will lay off 135 employees beginning in June, following the termination of a dual-eligible contract with the Idaho Department of Health and Welfare (IDHW).

Instead, Blue Cross says IDHW ended the decade-long contract a year early and instead awarded the contract to UnitedHealthcare and Molina Healthcare, both out-of-state insurers.

In a letter to the Department of Labor, Blue Cross of Idaho states it will be shutting down its team dedicated to working with the dual population.

In an email to Idaho News 6, Public Affairs Manger Bret Rumbeck stated, "Unfortunately, the loss of this program will require us to reduce our workforce, specifically the 135 employees directly related to the care of the dual population. This is a decision no one at the company takes lightly and is in no way a reflection of the quality of work and care accomplished by these employees. They have and will continue to support the duals members with dedication and compassion in the wake of IDHW’s decision."

The impacted employees, who work in Meridian and district offices, have been notified of their permanent separation dates, according to the letter.

Blue cross lay off letter 1
A letter provided to the Department of Labor from Blue Cross of Idaho regarding the recent termination of a dual eligible contract with the Idaho Department of Health and Welfare.
Blue cross lay off letter 1
A letter provided to the Department of Labor from Blue Cross of Idaho regarding the recent termination of a dual eligible contract with the Idaho Department of Health and Welfare.