Molina Healthcare is laying off local employees and closing its office on Gaskins Road. (Jack Jacobs photo)
As it prepares to wind down a contract with the state of Virginia, a California-based healthcare plan management firm is shutting down its local operations.
Molina Healthcare plans to permanently close its office at 3829 Gaskins Road and lay off 268 workers at the end of June, according to a notice that the company recently submitted to the state government.
Molina is a Fortune 500 company that manages government-sponsored healthcare programs in multiple states, including Virginia. But the company’s work with the Old Dominion is coming to an end.
The impending layoffs follow the company’s announcement in early May that it would soon end its contract with the Virginia Department of Medical Assistance Services. Molina is one of five companies that currently provide Medicaid coverage through the state’s Cardinal Care Managed Care program. Molina will no longer be a provider as of July 1, according to the DMAS website.
A Molina spokeswoman didn’t answer questions about the company’s layoffs, and instead shared a DMAS memo issued in late May about the implementation of contracts under the state’s Medicaid program.
Medicaid members who have a Molina plan will be transferred to a Humana Healthy Horizons plan unless they opt for different coverage. The other companies that participate in the state’s Medicaid program are Aetna, Anthem, Sentara and United Healthcare.
Molina’s Virginia office that’s slated to shutter is located in the Gaskins II office building, which is near the intersection of Broad Street and Gaskins Road in western Henrico. The company is terminating the employment of all its workers based at the office, which appears to be its only office in the region, and they include both hourly workers as well as directors and manager-level employees. Employees were notified about the layoffs in May.
