Connecticut Insurance Jobs with Aetna in Jeopardy

Posted on November 13, 2008

One large health insurance company is considering cutting Connecticut insurance jobs.

Aetna recently announced that some job cuts are likely. While the company is currently doing better than many of its competitors, according to an article by the Hartford Courant, some jobs will probably be cut in the company’s effort to protect its competitive edge as the economy continues to declie. Aetna provides health, dental, pharmacy, group life and disability insurance.

“We will pursue all appropriate options to reduce costs, including selective reductions in staff,” Ronald A. Williams, chairman and chief executive, said in the article.

The company, which is based in Hartford, has not announced the number of jobs that might be cut, what positions might be affected or when the cuts could take place. Aetna currently employs 7,487 workers in Connecticut and 36,139 workers overall. It has been speculated the company could end up laying off hundreds of employees.

“The bottom line is that most U.S. businesses anticipate a major economic slowdown in 2009 and are taking steps to streamline their organizations and cut costs,” Williams added. “We must do the same.”

At the same time as Aetna is considering layoffs, the company also is restricting any new hiring, cutting unnecessary spending and reviewing what it spends on outside consultants and professional memberships. Aetna has added about 815,000 members this year. Aetna’s net profit came in at $277 million for the third quarter, a 44 percent loss, due mostly to investment losses.