EmblemHealth to layoff 250 IT workers

Payer EmblemHealth plans to cut 250 IT jobs because it is changing its IT provider, reports Capital New York.

The New York-based insurance company currently uses Cobal as its IT platform, but plans to end that contract in favor of one with Trizetto, a subsidiary of Cognizant. 

The 250 IT workers whose jobs will be cut represent approximately 8 percent of the payer's workforce, according to Capital New York.

Karen Ignagni, CEO of EmblemHealth, told Capital New York the new IT platform will be more efficient and automate processes previously done by employees.

"We have had incredibly dedicated employees but because of this clunky platform, they've had to do workarounds," Ms. Ignagni said in the report. With the new IT platform, "we will be able to do all that much more seamlessly and provide a significant increase in support for our provider partners."

Ms. Ignagni said in the report the company plans to offer retraining and other support to help people find other employment.

Employees plan to silently protest the layoffs outside EmblemHealth's offices, according to the report. 

More articles on layoffs:

4 latest healthcare layoffs 
89 layoffs ordered at UConn Health Center as part of state budget cuts 
Northside Medical Center to lay off employees: 4 things to know 

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