Sen. Hwang Concerned About Jobs at Aetna

October 18, 2024

CVS Health CEO steps down; national chain struggles

Hartford Courant/ Associated Press

CVS Health Corp, the struggling parent company of Hartford-based health insurer Aetna, Inc., said Friday its chief executive Karen S. Lynch has stepped down, as the company’s shares tumbled nearly 20% this year and the pharmacy giant moved to cut $2 billion in costs, some of that resulting in layoffs in Hartford.

Lynch, who once led Aetna, will be replaced by David Joyner, who will attempt to steer the health care giant through a worsening environment of rising medical costs.

Woonsocket, RI-based CVS said as part of wide-ranging, $2 billion cost-cutting plan that would unfold over the next few years, CVS would slash 2,900 mostly corporate jobs nationally. The decision, CVS said, would help the company invest in technology and remain competitive.

The layoffs come on top of 5,000 in 2023.

State Sen. Tony Hwang, ranking senator on the legislative Insurance and Real Estate Committee, said Friday, “With this change in top leadership, I continue to have concerns, especially with regard to current and future insurance jobs at the Aetna headquarters in Hartford.
Hundreds and hundreds of layoffs have already been announced. Connecticut government officials must be persistent in seeking transparency during this major transition.”

Earlier this month, CVS said that it will cut nearly 100 corporate jobs at Aetna’s headquarters in Hartford as part of the broader layoffs nationally.

That also includes another 323 remote jobs that are based in other states but report directly to Hartford, bringing the total to 416. Those layoffs add to 336 in Hartford last year.

https://www.courant.com/2024/10/18/cvs-health-ceo-lynch-steps-down-as-national-chain-struggles-to-right-its-path/