GEHA will outsource some functions; 453 Lee’s Summit-based employees impacted

KANSAS CITY, Mo. — The Government Employees Health Association (GEHA), based in Lee’s Summit, told Missouri officials last Friday that it is planning to outsource certain business functions, leading to the layoff of more than 450 employees .

In the filing, the company said it made “a strategic business decision” that it claims will “modernize” its business model by hiring United Medical Resources (UMR) to provide “customized third-party administrator services.”

Employees working at the company’s facilities at 310 NE Mulberry St., 200 NE NE Mulberry Street, 201 NE Mulberry St. and 1650 NE Grand Ave. in Lee’s Summit are included in the layoffs, which will occur in two phases.

The company said the first phase is expected to begin around December 31, 2024, with the second phase expected in late March or early April 2025.

“In connection with our new vendor partnership with UMR, GEHA will outsource select business functions to UMR for optimization and scaling, while other business functions will remain within GEHA,” wrote GEHA corporate communications representative Raj Vavilala, in the document.

GEHA provides health and dental benefits to more than two million federal and postal workers, pensioners, military retirees and their families.

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