WPS faces likely job cuts after loss of federal contract
Madison-based WPS Health Insurance may see a significant reduction in workers as a result of the loss of a federal contract it had since 1966, according to an article in the Wisconsin State Journal. Company CEO Michael Hamerlik only noted that there will be staff cuts due to the change, though how many and where is yet unknown. The change is due to a nationwide reorganization that began in 2003 by the federal Centers for Medicare & Medicaid Services. WPS had been handling Part B Medicare claims in Wisconsin, Illinois, and Minnesota, but that contract has been assigned to National Government Services, based in Indianapolis. This summer, WPS was re-awarded a contract worth $217.2 million to continue handling Part A and Part B Medicare claims in Iowa, Kansas, Missouri, and Nebraska, according to the WSJ report.