CHATTANOOGA (WRCB) – BlueCross BlueShield of Tennessee announced Wednesday that around 100 employees will lose their jobs.

In a press release, the insurance company says it's eliminating two percent of its workforce across the state, to cut costs.

Also, an additional 100 vacant positions will not be filled for 2013.

The company says 25 percent of the cuts are at the management level.

CEO Bill Gracey says the cuts are necessary to operate efficiently, citing the Affordable Healthcare Act and the new $200-million-plus annual excise tax that BlueCross will have to pay starting in 2014 as reasons.

Stay with for updates as they become available.