Highmark reportedly cuts 98 jobs, citing improved operating efficiencies 

Highmark is laying off 98 people, with all but three of the jobs at enGen, an information technology subsidiary, according to the Pittsburgh Post-Gazette.

The job cuts were reportedly spurred by improved operating efficiencies.

This recent round of layoffs at Highmark brings the total number of jobs lost at the Pittsburgh-based organization to 357 for the year, up from last year’s 259 total, the report said.

WHY THIS MATTERS 

The enGen subsidiary, founded in 2014 as HM Solutions, provides health insurance plans with integrated technology platforms that handle the back-office functions of claims management and other administrative functions, according to the Pittsburgh Post-Gazette report.

No one at Highmark could be immediately reached for comment.

THE LARGER TREND 

Highmark is a non-profit health insurance company that operates in Pennsylvania, Delaware, West Virginia and New York. It offers plans for individuals, families, businesses and Medicare. 

Highmark’s parent company is the Allegheny Health Network, a 14-hospital system also based out of Pittsburgh.

In March, Highmark reported a 5% year-over-year increase in revenue. The organization attributed the results to its insurance business units, notably Highmark Health Plans, United Concordia Dental and HM Insurance Group, which it said are driven by steady membership, more affordable product options and better health outcomes, on top of positive investment market performance. Additionally, Allegheny Health Network experienced increased patient volumes over the prior year in nearly all care delivery areas.

Email the writer: SMorse@himss.org