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HealthNow will cut 30 jobs

Published:March 16, 2010, 6:36 AM

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Updated: August 21, 2010, 5:11 AM

HealthNow New York said Monday that it is cutting another 30 jobs, part of what officials call an ongoing “re-engineering” of the health insurer to be more efficient and responsive, while reducing costs.

The Buffalo-based parent of BlueCross BlueShield of Western New York said it is eliminating the unionized clerical and customer service positions because the jobs were no longer needed as a result of consolidations and technology.

The process will take several months to be completed, and the effort to improve operations, begun more than a year ago, isn’t over.

“It’s all part of the company’s continued efforts to transform and re-engineer, streamline operations and reduce duplication,” said spokeswoman Karen Merkel-Liberatore. “This will continue as we seek ways to improve and strengthen everything we do, by implementing technology where appropriate, by revamping processes where we need to be more efficient.”

All of the affected employees are in Buffalo and are represented by Local 212 of the Office and Professional Employees International Union, which has 400 members among Health- Now’s 1,300 local workers. Overall, it employs 2,300.

However, the final number of displaced workers won’t be known for some time, officials said. That’s because those with seniority will be given an opportunity to replace or “bump” a more junior employee in another position with less time on the job, if they have the skills.

That process can take from two weeks to several months, depending on knowledge levels and training required. And those who are bumped can still apply for other open positions.

“We continue to hire. We have positions on our Web site right now,” Merkel-Liberatore said.

HealthNow has been revamping its operations for several years, restructuring the way it does business and deals with customers.

“Technology is changing the process, so we may need less workers to do the same amount of work that used to be done,” Merkel-Liberatore said.

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