Presbyterian Cuts 135 Jobs in Health Plan Shift

Presbyterian is laying off 135 employees, primarily within its health plan division, KOB 4 reported.

The workforce reductions follow a strategic decision by the healthcare provider to exit most Medicare Advantage plans and address a decrease in overall membership. These layoffs specifically target roles within the Presbyterian Health Plan and certain administrative positions, rather than frontline medical staff.

“These changes are part of our efforts to align staffing and operations with the services the health plan will continue to provide while strengthening Presbyterian’s long-term sustainability,” the company said.

The organization planned to notify the affected staff on Thursday regarding the elimination of their positions and the specific timelines for their transitions. While some employees are leaving immediately, the company said that most impacted staff will remain for several months to assist members and complete necessary transition work.

The company confirmed that the layoffs do not include patient care roles located in Presbyterian hospitals or clinics. To assist those losing their jobs, Presbyterian intends to offer severance benefits along with resources to help with career transitions.

This move follows a previous announcement made in June, when the organization disclosed plans to end most of its Medicare Advantage plans by 2027. That earlier plan included the expected reduction of approximately 150 health plan and administrative roles.

“We recognize the significant impact these decisions have on our colleagues and are grateful for their contributions to Presbyterian,” the company said.

The organization framed the downsizing as a move to protect its status as a local, independent, not-for-profit healthcare provider in New Mexico. “While difficult, these actions are necessary to support Presbyterian’s financial strength and our continued ability to serve New Mexico as a local, independent, not-for-profit healthcare organization,” the company said.