Array Behavioral Care has laid off at least 10% of its workforce as it takes shape under new management and new investors.
At the end of November, the Mount Laurel, New Jersey-based virtual psychiatry and therapy provider restructured the company, resulting in layoffs. Meanwhile, the company has undergone an evolution in its leadership team over the past year.
“These organizational changes were made in service of enhancing operational excellence, enabling responsible growth, and ensuring Array’s continued commitment to delivering quality, timely behavioral health care,” a representative from the company told Behavioral Health Business.
The roles impacted by the layoffs include, at least, work related to payer relations, sales and client relations.
On Sept. 6, Array Behavioral Care announced the appointment of three new c-suite executives: Shannon Werb, CEO; Dr. Sara Gotheridge, chief medical officer; and Ben Schlang, chief financial officer. That news came about eight months after Array Behavioral Care closed a $25 million funding round led by CVS Health Ventures, announced in January 2023.
The company confirmed that it created two new roles over the last year, including the CIO and CMO positions.
The company’s two recent CEOs painted very different pictures of the company’s prospects.
Just after the funding round, the then-CEO of Array Behavioral Care, Geoffrey Boyce, told BHB that the company was “extremely well-positioned to keep on [its] growth trajectory” and that it was “full-steam ahead” on expansion. He said the company’s roughly 25-year history had led to a refined, quality clinical model that made it stand out when demand for telehealth-based behavioral health has exploded. One of the companies that merged to become Array was founded in 1999.
Werb, the company’s current CEO, told BHB shortly after his appointment: “Building a scalable telehealth business is not straightforward.”
He described a company that needed to integrate its high- and low-acuity services and said it would be “not a small feat by any means” to “build and execute a telehealth service that works across the entire country.”
He also said that service integration work would be ongoing through the end of 2023 and into 2024.
“As the company moves ahead into the new year, there will be increased investments in people, technology, and processes to help scale the company, while centralizing and standardizing operations to create a more focused organization capable of delivering the highest levels of quality care and customer support,” a representative of the company told BHB.
The company is also recruiting a replacement for the chief operating officer role. Shawn Ball, an executive at Array Behavioral Care from 2018 to 2023, most recently as COO, took up a similar role at the virtual behavioral health startup Brave Health in November 2023, according to his LinkedIn profile.
Boyce recently said on social media that he is a board advisor to the startup OPTT Health, a tech platform that helps psychotherapists provide interactive therapy and tracks patient progress with artificial intelligence.
*Editor’s note (Jan. 19, 2024): A previous version of this story misstated that several roles were eliminated. The story has been updated to clarify the situation.