Please do not leave this page until complete. This can take a few moments.
Too often these days we read negative headlines about employers allegedly not doing right by their workers.
Whether it's the national debate over a $15 minimum wage or attempts in Connecticut to fine companies that pay low wages or establish a public retirement savings plan, employee pay and benefits — or lack thereof — are constantly coming under scrutiny, particularly in a politically charged election year.
It's important, however, to bring some balance to the debate and highlight ways employers are not only investing in their workers, but setting them up for future success.
Last week, the Lumina Foundation released a study — conducted by Accenture — detailing the effectiveness of Bloomfield insurer Cigna's education-reimbursement program, which provided more than 2,200 workers up to $8,000 annually between 2012 and 2014 to pursue a bachelor's or master's degree.
The program has had a major impact on participants. Entry-level and mid-management employees who pursued higher-level degrees leveraging Cigna's financial support, for example, saw their wages grow 43 percent higher than workers who didn't participate.
Additionally, Cigna employees who took advantage of the program were 10 percent more likely to be promoted and 8 percent more likely to stay with the company.
Surveyed Cigna employees also said the program improved their career opportunities and outcomes. Cigna benefited as well: Its program funding yielded a 129 percent return on investment, meaning, as the study explains it, the insurer got back every dollar it invested and avoided an additional $1.29 in talent-management costs.
Cigna is one of many Connecticut employers that offer education-reimbursement and other perks, and they should be commended for it. While we realize such programs aren't fully altruistic, their mutual benefits help the company and employees.
They also help the state's economy, by growing our bench of highly educated workers, a key advantage in the burgeoning knowledge economy. In fact, in response to the study's findings, Cigna actually raised its financial support to employees pursuing undergraduate and graduate degrees (to $10,000 and $12,000 respectively) in key areas crucial to its business, including cybersecurity and data analytics — positions other Connecticut companies have reported facing shortages in.
The study's findings also provide lessons for businesses, mainly that it pays to invest in your workers. The right training and education programs can not only sharpen and raise employee skill levels, it can create a major selling point in talent recruitment and retention.
Policymakers should also take something away, mainly that most employers do more good than harm in raising the financial and economic prospects of their workers.
Too often, the private sector is blamed for widening this country's income gap, and politicians point to executive's multi-million-dollar pay packages as excessive and the root of inequality, when the story is much more complex than that. Globalization, technology advances and a slow recovery from the Great Recession are much greater forces restraining lower- and middle-class wealth gains.
While we understand income inequality is a problem that deserves serious policy considerations, the private sector is more ally than foe in raising the economic prospects of American workers.
Read more
Solving big problems in short time frames
State's lockbox proposal may be unenforceable
Economic argument for legalizing weed not valid
Leadership doesn’t equate to popularity
Legislative process remains broken
Proactive businesses avoid tax hikes … for now
Weary legislators depart, leaving behind flawed system
The Hartford Business Journal 2025 Charity Event Guide is the annual resource publication highlighting the top charity events in 2025.
Learn moreHartford Business Journal provides the top coverage of news, trends, data, politics and personalities of the area’s business community. Get the news and information you need from the award-winning writers at HBJ. Don’t miss out - subscribe today.
SubscribeDelivering vital marketplace content and context to senior decision-makers throughout Connecticut ...
All Year Long!
The Hartford Business Journal 2025 Charity Event Guide is the annual resource publication highlighting the top charity events in 2025.
Hartford Business Journal provides the top coverage of news, trends, data, politics and personalities of the area’s business community. Get the news and information you need from the award-winning writers at HBJ. Don’t miss out - subscribe today.
Delivering vital marketplace content and context to senior decision-makers throughout Connecticut ...
All Year Long!
In order to use this feature, we need some information from you. You can also login or register for a free account.
By clicking submit you are agreeing to our cookie usage and Privacy Policy
Already have an account? Login
Already have an account? Login
Want to create an account? Register
In order to use this feature, we need some information from you. You can also login or register for a free account.
By clicking submit you are agreeing to our cookie usage and Privacy Policy
Already have an account? Login
Already have an account? Login
Want to create an account? Register
This website uses cookies to ensure you get the best experience on our website. Our privacy policy
To ensure the best experience on our website, articles cannot be read without allowing cookies. Please allow cookies to continue reading. Our privacy policy
0 Comments