Health insurance provider Cigna announced today that it is increasing the minimum wage for its employees and providing other compensation benefits due to the GOP-led tax overhaul passed last month. The company will be increasing its minimum wage to $16 an hour and its 401(k)-program match by 1%.
The move is expected to cost the company $15 million for the wage increase and $30 million for the 401(k) increase. Over 30,000 employees are expected to benefit from the compensation increases.
“It is because of our employees that Cigna continues to deliver on our mission to improve the health, well-being and sense of security of those we serve. Reinvesting a portion of savings from tax reform in our employees is a reinvestment in our mission,” Cigna CEO David Cordani said.
More than 300 companies have announced bonuses, wage hikes or other compensation increases as a result of the GOP-passes bill, according to Americans for Tax Reform.