Fierce Healthcare is tracking workforce changes across healthcare in 2026. Stick with this tracker for the latest updates, and reach out to the team with any layoff news. Also, take a look back at our trackers for 2025 and 2024.
March 24
UCI Health restructure to cut headcount by 1%
UCI Health announced a strategic restructuring that will lay off about 1% of its workforce, or roughly 150 people.
The six-hospital academic system said its effort will be combining position and better matching roles to its developing needs. Those affected "will receive comprehensive financial support, job placement services, and priority consideration for open positions across UCI Health as part of the organization’s realignment."
The California organization cited federal funding shifts and insurance reimbursement changes for its restructuring, as well as patients' different approaches to care access.
“We approach this moment with respect and care, feeling deeply grateful for our co-workers’ vital contributions to our community and those we serve," Chad Lefteris, president and CEO of UCI Health, said. "We recognize that change impacts all of our co-workers. But this realignment is vital to ensuring our ability to continue meeting the evolving needs of the communities we serve."
March 23
North Star Health Alliance laying off more employees
Bankrupt New York system North Star Health Alliance said in a release that it will be taking "additional operational restructuring actions" despite already conducting a prior round of layoffs near the top of the year affecting more than 100 people.
The system said the "workforce adjustments" will span the organization, and target greater operational efficiency while preserving essential care access. It did not disclose how many employees will be affected.
“This is a difficult but necessary step as we move through the Chapter 11 process and continue strengthening our organization for the future,” said CEO Andrew Manzer. “Our focus remains on strengthening the organization so we can continue delivering high-quality care close to home.”
Feb. 19
Walgreens lays off employees in Illinois, Texas
Pharmacy giant Walgreens will eliminate jobs in two states as it adapts to cost pressures as a private company under new owner Sycamore Partners.
A spokesperson for Walgreens confirmed the layoffs in a statement to Fierce Healthcare. Bloomberg reported that notices submitted in Illinois, where the company is headquartered, include 469 job cuts. A further 159 positions will be eliminated in Texas, according to the report.
"We’re focused on becoming America’s best retail pharmacy, beginning with improving the in‑store experience for our customers and patients," the spokesperson said. "To do this, we’ve made the difficult decision to simplify our organization in both the support center and with our field leadership to speed decision making and improve the service that millions of customers rely on every day."
They added that the company will support employees in the transition.
Walgreens was purchased by Sycamore Partners last year after facing declining profitability.
Feb. 18
Baystate Health trims 117 corporate roles
Baystate Health, a five-hospital nonprofit system in Massachusetts, confirmed the reduction of 117 corporate positions, which it said is less than 1% of its total workforce.
The system, in a statement given to press, outlined "ever-increasing headwinds" ranging from rising supply expenses to expired Affordable Care Act subsidies to increased demand from patients covered by government plans.
Baystate did not outline specific affected roles, but said those affected by the job cuts have been "notified with compassion and provided with support resources." The statement also described a decision to outsource clinical engineering to medical equipment management organization TRIMEDX, with Baystate's relevant team set to become employees of TRIMEDX beginning in May.
Feb. 12
PeaceHealth laying off 94 Washington workers
Nine-hospital nonprofit PeaceHealth filed a notice Wednesday that it plans to permanently eliminate 94 positions across its Washington facilities.
The layoffs are expected to to be effective by April 12, according to the notice, and a list of affected roles include clinical and non-clinical job titles. Some of the employees have union representation.
In a statement to press, a representative noted the cuts affect less than 1% of the system's workforce and reflectthe changing needs of our growing communities, ongoing financial pressures to reduce costs and our commitment to advancing the health and well-being of those we serve.”
The reductions come just a few months after the system cut about 400 workers (2.5% of the workforce) and closed some open positions amid organizational adjustments. Prior to that it had cut 1% and instituted a partial hiring freeze in May.
Feb. 9
Cigna to eliminate 2,000 jobs
Cigna is planning to eliminate about 2,000 jobs across its global footprint, accounting for about 3% of its total workforce.
Chatter across platforms like LinkedIn and Reddit have discussed the layoffs for several days. Benefits PRO reports that voluntary retirements were also offered to eligible employees.
It's unclear how many individuals are effected by the layoffs, and if any of the jobs were not filled.
“As we drive greater efficiency across our business, we have made the difficult decision to reduce roles in our workforce," a Cigna spokesperson told Fierce Healthcare. "This decision was made with deliberate care and focus, and we are providing a package that includes a variety of transition services for impacted colleagues.”
Jan. 30
Unite Us reduces staff by 20%
Unite Us, the tech company facilitating referrals to social services, laid off workers on Wednesday. The move affected about 20% of staff, or over 80 people, two people affected told Fierce Healthcare. The cuts primarily hit the product and customer support teams, they said.
The company did not confirm the number of people affected, but a spokesperson told Fierce Healthcare the move was a "targeted reduction." Unite Us is providing "career transition assistance" to those affected.
"We can confirm that Unite Us remains in a strong, stable financial position. The recent changes allow us to better align our teams and investments with our core offerings and deliver outcomes for our state and healthcare partners," the spokesperson said in an email.
This is a developing story.
Jan. 29
Horizon BCBS of New Jersey to lay off 242
Horizon Blue Cross Blue Shield will eliminate 242 positions, according to a WARN notice submitted this month in the Garden State.
A spokesperson for the insurer told Fierce Healthcare that the non-profit payer is staring down the same financial challenges that are impacting the industry writ large, and that it notified employees in November that it would conduct a restructuring in early 2026 that would lead to the elimination of about 300 positions.
The individuals impacted by the layoffs were notified on Monday, the spokesperson said. The insurer has trimmed its workforce by 8% accounting for this round of layoffs and other actions taken in 2025, they said.
"We do not take workforce reductions lightly," per the spokesperson. "Employees whose positions were eliminated were treated with fairness and respect and will receive a generous separation package."
Jan. 29
Erie County Medical Center laying off 3% of workforce
New York's Erie County Medical Center said it is laying off about 150 employees, or about 3% of its team.
The cuts are primarily in non-clinical roles, though a local nurses' union said that some frontline clinicians were also affected. The hospital is also requiring one week of unpaid furlough in 2026 for its "management confidential employees."
The center's statement placed the blame on "inadequate reimbursements from both public and private payers," adding that "insurance companies continue to deny and delay payment for patient care services at an alarming rate. It stressed that it has not fully closed any of its programs, "but has made targeted reductions in services to meet patient demands and our financial realities."
Jan. 29
ECU Health shutters 31 complex care management roles
ECU Health, in eastern North Carolina, will be laying off 31 positions within its Access East program, which helps deliver non-medical and other complex care-management services to Medicaid recipients.
The cuts stem from a decision by the state legislature not to fund the Healthy Opportunities Pilot program that supported its efforts. The system, in statements to press and a regulatory notice, said the terminations are set to go into effect on March 31, but that the organization is looking at other internal openings for those affected where possible.
Jan. 27
Hennepin Healthcare cuts 100 jobs, some services to close $50M budget hole
Hennepin Healthcare, which operates HCMC in Minneapolis and a network of primary care clinics in Hennepin County, plans to cut 100 positions and shutter some services as it faces a massive budget shortfall.
The health system is making targeted service line adjustments as part of a broader, long-term effort to stabilize its finances and protect core clinical services and care capacity, the organization said in an announcement posted to its website on Monday.
Hennepin Healthcare will be closing or integrating some stand-alone clinics and services. The health system will close chiropractic and acupuncture services and refer patients to external providers and it is shuttering its sleep clinic. The system said it will continue to do sleep screening tests through primary care.
Senior and extended care also will be impacted as older adult patients will now be seen in primary care and nursing home services will be transitioned to other systems, the health system said. Patients needing pain treatments also will be transitioned to other providers. Medical and surgical services for weight management will be reduced and integrated into the Clinic and Specialty Center instead of operating as a stand-alone clinic.
Hennepin Healthcare runs Hennepin County Medical Center (HCMC), a Level I adult and pediatric trauma center and safety net hospital.
Earlier this month, the new co-leaders at Hennepin Healthcare sent a message to workers saying job cuts and service reductions would be needed soon because of a cash-flow crisis, the Minnesota Star Tribune reported.
During a press conference Monday, Dr. Kevin Croston, the co-interim administrator of Hennepin Healthcare, told reporters that the health system is currently facing a financial crisis due to budget challenges and health insurer UCare closing, among other factors, Minnesota Public Radio reported.
The health system is trying to close a $50 million budget hole by the end of March, several media outlets reported.
Hennepin Healthcare also is confronting a projected $100 million loss in uncompensated care and a $1.7 billion reduction in Medicaid revenue over the next 10 years, MPR reported.
Jan. 23
Pomona Valley Hospital Medical Center axes 265 open, filled positions
Pomona Valley Hospital Medical Center shared plans to cuts 265 roles—128 via planned retirements and vacant position closures and the remaining 137 through layoffs and a reduction in hours. The layoffs will take effect by March 8, according to a WARN filing.
The 427-bed nonprofit, which employs about 4,000 people, cited federal and California reimbursement cuts for its decision as well as a budget shortfall of $40 million. The plan for job reductions and other measures was put together following a “thorough evaluation of operational requirements, organizational structure and redundancies in positions,” a spokesperson told press.
The layoffs will take effect by March 8, according to a WARN filing. Those affected will receive severance and other support.
Pomona Valley said the reductions affect management as well as clinical and nonclinical roles but that patient care would not be affected. A labor union representing some of the hospital’s nurses told membership it plans to enforce protections outlined in its collective bargaining agreement, including an option for laid-off nurses to apply for and be given other open positions for which they are qualified.
Blue Cross of Idaho cuts dozens
Blue Cross of Idaho said it will be laying off fewer than 90 workers, a move the group said will allow it “to remain a strong, Idaho-based company” and better serve its nearly 600,000 members.
The insurer did not give details on specific roles affected to a timeline for the cuts. It had already reduced its head count by 135 early last year when the state health department passed it over for a dual-eligible contract.
L.A. Care Health Plan reorganization 3% leaner
L.A. Care Health Plan will lay off 225 employees, about 3% of its workforce, on or before March 13.
The country’s largest publicly operated health plan said in a statement the decision stemmed from federal and state funding cuts, and that its restructure will strengthen critical capabilities and introduce new roles to help do so. It also said it will provide transition support and resources to affected workers.
Trinity Health outsourcing cuts RCM team by 10.5%
Trinity Health said it will be laying off about a tenth of its revenue cycle management team, instead outsourcing the work to a vendor in a bid to reduce costs.
The 92-hospital nonprofit system did not disclose how many workers are affected but said the reductions affect workers in 15 states. The organization also did not share whether those losing their positions would receive a compensation package.
Alameda Health System cutting 250 systemwide
Alameda Health System will lay off about 250 employees across multiple locations.
A regulatory filing outlining most of these lists March 9 as the terminations’ date of effect. The California organization said its cuts will span several areas, and it is also offering voluntary resignations and retirements with financial incentives.
The reductions stem from impending funding cuts.
North Star Health Alliance eliminating 120 amid state payment dispute
North Star Health Alliance announced layoffs affecting around 120 of its workers.
The New York system told press its cuts will span clinical, nonclinical and management employees and be split roughly equally across its two main campuses. Those affected did not receive severance payments outside of what was obligated under their employment contracts.
The cuts come in the wake of a payment dispute between North Star and New York’s Department of Health related to the restructuring of its hospital into a critical access hospital and a co-located inpatient acute psychiatric hospital.
Vibra Healthcare's long-term acute care facility closure to affect 310
Vibra Healthcare will be laying off 310 employees when it closes Specialty Hospital of Portland, the state’s only long-term acute care facility, due to financial challenges.
The decision was announced in December but will take effect on or before Feb. 1, per a WARN filing. Leadership, nonclinical workers and clinical positions such as nurses and therapists who worked at the 73-bed facility are affected.