California Company Announces Layoffs in 7 Counties

Los Angeles, California: Worker Adjustment and Retraining Notification (WARN) papers that Blue Shield of California submitted to the state indicate that the company has verified a workforce reduction, with 165 employees scheduled for layoffs by January 31. This action is a result of the nonprofit insurer’s attempts to cut expenses and simplify operations.

The new round of layoffs affects about 2% of the 7,500 workers of Blue Shield of California.

Locations of Layoffs:

  • Alameda County: 80 Layoffs
  • Los Angeles County: 32 layoffs
  • Sacramento County: 20 layoffs
  • El Dorado County: 16 layoffs
  • San Joaquin County: 13
  • San Diego County: 3
  • Shasta County:1

With an eye toward cutting prescription drug costs by $500 million annually, the firm moved its pharmacy benefit management from CVS Health’s Caremark to a new model in August that involves agreements with Amazon Pharmacy, Abarca, Mark Cuban Cost Plus Drug firm, and Prime Therapeutics.