Following a series of setbacks, UnitedHealth announced the immediate departure of its CEO, Andrew Witty, effective immediately. Witty is to be replaced by Stephen Hemsley, the fund’s former CEO from 2006 to 2017.
The company, which has recently attracted a lot of negative media attention, has undergone a cyber attack and federal investigations, as well as been subject to public protests over rising medical costs.
Today, a filing from UnitedHealth Group revealed that Hemsley, 72, will receive a remuneration package that includes an annual base salary of $1 million and a one-time equity award of $60 million. Hemsley will also receive executive security benefits.
In a press release, Hemsley told investors, “UnitedHealth Group has tremendous opportunities to grow as we continue to help improve health care and to perform to our potential — and, in so doing, return to our long-term growth objective of 13 to 16 percent.”
The company’s stocks fell 18% following the leadership transition.
By CEO NA Editorial Staff
