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Aetna Sets Wage Floor: $16 an Hour

Wall Street Journal (01/12/15) Anna Wilde Mathews; Theo Francis

To attract good prospects and reduce turnover, Aetna Inc. has decided to pay employees a minimum of $16 an hour. The shift will help the company prepare for a more consumer-oriented business and better weather changes in the industry. Wages have been stagnant even as other economic indicators improve, but signs indicate that the tipping point may be near. In addition to Aetna, other large corporations also have recently lifted wages.

Aetna also plans to allow some employees with lower household incomes to select health insurance coverage with lower out-of-pocket costs, but will maintain their premiums at the same level. The change could save workers with families approximately $4,000 annually.