Sentara Health said it is reducing its workforce by about 200 positions, affecting employees across 10 states, with the majority in Virginia.
A Friday statement from the health system explained that employees were notified of a reduction in workforce this week. The layoff affects less than 1% of Norfolk-based Sentara Health’s 34,000 employees.
The positions span multiple levels within or in support of Sentara Health Plans, with about 40% in leadership positions, according to the statement.
Sentara Health President and CEO Dennis Matheis said in an organization-wide communication that the affected employees have been dedicated and mission-driven team members.
“We are grateful for their passion and contributions to the organization and to the community,” he said.
Sentara said the layoffs are due to the redetermination process for Medicaid, which led to a significant decline in Medicaid membership throughout the country and Virginia. That process has resulted in a loss of more than 115,000 members — or 16% of the health plan’s Medicaid membership — in the past year.