I’ve been hearing this date mentioned frequently. Can anyone confirm?
21 replies (most recent on top)
@n5 10%
@mm Thanks for the updates! As discussed in another thread- Brian Evanko - "Expect lower headcount in 20026 that what Cigna has today", more layoffs for sure. How much lower would it be? 5%, 10%, 25%? What’s your estimate?
@gj What does “rewinding Obamacare” mean? If you mean will the expiration of the enhanced ACA subsidies have very little impact on Cigna, the answer is yes.
Cigna is barely in the Obamacare (ACA) market. It is a minuscule portion of the overall company profit. Cigna’s health plan business is almost all employer group business. But this will hurt companies with a lot of ACA business, like Centene and BCBS.
It’s shocking how so many people work in this industry don’t even understand it.
Cigna only offers ACA plans in a handful of states, the last number I found was under 900,000 lives covered (take with a grain of salt, these are internet numbers). The removal of subsidies over 400% FPL will have some impact, but it does not appear to be as significant of a revenue source when compared to other lines of business. It's not their "bread and butter" so to speak.
In addition, they will not go to zero on this on this line of business, there are still plenty of people who will meet the under 400% FPL requirement for subsidies, and then some who will just pay the large premiums, and I recognize there will be many who will likely have to drop insurance entirely.
@gd what’s your point? Are you saying rewinding Obamacare has very little impact on Cigna? Educate us please.
@bm and b9- What are you talking about? Do you realize how tiny a fraction of Cigna’s earnings come from the IFP business (aka Obamacare)? There were many years when that business was LOSING money. Please educate yourself before posting embarrassingly incorrect comments.
@ch This is just Thiel/Vance/Kushner's younger brother trying to get in to rx.
@bm Good point! Now there’s TrumpRx.gov, the impacts on all PBMs will be seen soon.
@b9 Agree that Obamacare has fattened cigna's coffers in a major way, but Cigna also acquired Express Scripts in 2018 - roughly 30k employees -- so the headcount isn't all due to Obama care.
@be part of tech
@bc Ouch. I am sorry to hear that.
@bc which org?
looks like my team is losing 25% capacity around the new years..
@b9 that’s exactly what I thought. Thank you for coming up with data to support your points!
Obamacare signed into law 2010
Enrollment opened 2013
Subsidies started in 2014
CIGNA has added over 42,000 employees since 2010.
CIGNA stock has gained 726% since the end of 2010.
What happens when subsidies end and no more guaranteed billions from the government every year? Major downsizing.
@az How can you tell?
Feels like something will happen soon. Management seems to be acting strange again.
When the VRP first came out, they offered it to multiple orgs/groups and then within those groups anyone meeting the band, age and length of service requirements was eligible. It was then up to the eligible employee to accept or reject the offer. If accepted, their managers could raise a concern with HR to maybe deny the acceptance, but in the documentation they did mention that it needs to be a REALLY good argument to keep an employee who accepted the VRP and for the most part, if the employee accepts it, it was essentially a done deal.
In those communications last summer, they said that Technology was out of scope for round 1, but would very likely be offered in the upcoming round 2.
But after the town hall meeting, I'm wondering (hoping) they will offer the VRP to more orgs than just Technology.
My understanding is any employee that meets criteria (age, time with company, band) is identified by HR and local leaders can have a say on people whose leaving would create a big burden and they can request that they be exempt from the offering or ask for a longer transition time before they are released
Wonder if anyone knows the requirements to be eligible for VRP, or the selection process? Candidates are selected by HR only? Or manager suggests first?
They notify on Thursdays, the 7th does not seems likely. Maybe it's related to the next VRP announcement?