Aetna Is Moving Corporate Headquarters to NYC - NECN

Aetna Is Moving Corporate Headquarters to NYC

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    NEWSLETTERS

    Aetna says it will move its headquarters to Hartford, and gave a message to Connecticut to get its fiscal house in order.

    (Published Thursday, June 29, 2017)

    Aetna announced this morning that the company is moving its headquarters from Hartford to New York City next year.

    The Hartford-based company that has been in Connecticut for more than 150 years, said it a statement that the move will have minimal impact on Aetna’s Connecticut-based associates and the company's long-term commitment to Connecticut will be based on the state’s economic health.

    When word began to circulate last month that Aetna could be leaving the state, Gov. Dannel Malloy said he believes the "vast majority" of the 5,800 Aetna jobs in Connecticut would likely remain in the state.

    “While Aetna has decided to move 250 jobs to New York City, the vast majority of their nearly 6,000 employees in Connecticut will stay here," Malloy said in a statement. "At the same time, this is an important reminder that to be competitive, Connecticut state government must immediately take the necessary steps to produce a balanced biennial budget with recurring measures to reduce spending and structural solutions to our long-term problems. We must also continue to invest in the revitalization of our cities."

    A statement from New York Gov. Andrew Cuomo says Aetna will be moving into a 145,000 square-foot facility in Chelsea and bringing 250 well-paying jobs to New York.

    Empire State Development offered Aetna $24 million in performance-based tax credits delivered over 10 years, according to Governor Cuomo's office, and Aetna will add 250 senior positions to the new headquarters at 61 Ninth Avenue in Chelsea over the next five years and invest $84 million to fit out and equip the facility. 

    Aetna said its long-term commitment to Connecticut will be based on the state’s economic health/

    "The company remains hopeful that lawmakers will come to an agreement that puts Connecticut on sound financial footing, and that the state will support needed reforms to make Hartford a vibrant city once again," Aetna said in a statement.

    Malloy said his budget proposal this year is not only focused on protecting Connecticut's cities, but growing them.

    “My budget proposal this year is focused on not just protecting our cities, but in growing them, and making them even more dynamic and exciting places to work and to live. Make no mistake – Hartford is experiencing a transformation with hundreds of new housing units, a major university campus moving downtown, and an arts and culture scene that grows more vibrant each and every day," Malloy said in a statement. "It is imperative that we act expeditiously in taking the necessary steps to address our long-term challenges head-on so that we are able to provide predictability for business and taxpayers alike.”

    Hartford Mayor Luke Bronin also released a statement, saying he hopes that Aetna's decision serves as "a clear and powerful message" to political leaders of both parties in Connecticut that it's necessary o take bold action quickly.

    "The City of Hartford is finally seeing the start of the revitalization that eluded us for so long, and you can feel the new energy in the Capital City. But at the same time, Hartford and the State of Connecticut as a whole are facing fiscal crises that are decades in the making, and can’t be fixed with stop-gaps or band aids," Bronin said in a statement  "I hope that, as a state, we can use the loss of Aetna’s flag as a rallying cry to put Connecticut on a sound fiscal path and position our cities – including Hartford – to be the strong, vibrant centers of growth that Connecticut needs and that our major employers demand."

    Following is Aetna's full statement

    Beginning in late 2018, Aetna’s corporate headquarters will be located in New York City. The decision is a meaningful investment in Aetna’s future, and a key step in evolving from an insurer to a health company focused on consumers and their communities.

    “New York City is a knowledge economy hub, and a driver of the innovations that will play a significant part in our ongoing transformation,” Aetna Chairman and CEO Mark T. Bertolini said in a statement. “Many of the roles in our new office will be filled by innovators from the area’s deep talent pool, which will be an invaluable resource as we consider additional investments in the city going forward. I thank Gov. Cuomo and his team for their partnership throughout this process, and look forward to working closely with Mayor de Blasio as we build on our role as a responsible corporate citizen.”

    Aetna already has an established presence in the city, including operations in Harlem.

    “Aetna’s decision to call New York home is another testament to the Empire State’s extraordinary economic momentum,” said New York Gov. Andrew M. Cuomo. “New York has a deep, diverse talent pool and pro-growth environment that businesses need to succeed, and today more companies are choosing New York to grow and diversify their business. By relocating to New York and bringing another 250 jobs to the state, Aetna is sending a clear signal that New York is open for business.”

    “New York City is where talent and technology come together. We’ve never been stronger, and that’s why companies like Aetna and their workers want to be here. We’re proud to support its move to the city,” stated New York City Mayor Bill de Blasio.

    The move will have minimal impact on Aetna’s Connecticut-based associates. The company remains committed to its Hartford campus and the thousands of associates based there, in addition to other established locations throughout the country and around the globe. Several of Aetna’s key businesses will remain primarily based in Hartford, and the Consumer Health & Services team will continue to operate out of Wellesley, Massachusetts.

    Aetna’s long-term commitment to Connecticut will be based on the state’s economic health. The company remains hopeful that lawmakers will come to an agreement that puts Connecticut on sound financial footing, and that the state will support needed reforms to make Hartford a vibrant city once again.