Lovelace Health System cuts 43 employees amid ‘challenging policy environment’

June 11, 2026

ALBUQUERQUE, N.M. — Lovelace Health System confirmed they cut around 43 people from its workforce, citing rising costs and a “challenging policy environment.”

Lovelace confirmed the layoffs Thursday to KOB. The layoffs will affect “primarily administrative and support roles”, representing “approximately 1.6%” of their local workforce.

“We worked to minimize the impact where possible, including placing some team members into other open roles,” a Lovelace spokesperson told KOB. “These are difficult decisions and we don’t take them lightly.”

The spokesperson stated, like other U.S. health systems, they’re facing “rising costs, shifting payor dynamics and a challenging policy environment.”

“These actions reflect deliberate steps to manage costs and ensure our structure keeps pace with current realities,” the spokesperson stated.

Earlier this month, another major healthcare provider in New Mexico – Presbyterian – cut about 150 health plan and administrative jobs. They plan to end most Medicare Advantage plans in 2027.

Lovelace emphasized they’re supporting affected team members. They stated their focus remains on “providing safe, high-quality care to our patients and community.”

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