Scribd Logo
Upload

Welcome to Scribd!

  • 36 views

    Bad Memo Project-Ethan

    Uploaded by

    api-547408352
    The CEO informs employees that healthcare costs have risen 47% over the past 20 years, resulting in an additional $1.2 million cost to the company. As a result, employees will now have to contribute to their healthcare plans starting in August 2021, with annual costs ranging from $2,000-$4,000 depending on the type of plan and being scaled based on salary. While the changes are unfortunate, the CEO believes the company and employees can adapt together.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Bad Memo Project-Ethan

    Uploaded by

    api-547408352
    36 views2 pages
    The CEO informs employees that healthcare costs have risen 47% over the past 20 years, resulting in an additional $1.2 million cost to the company. As a result, employees will now have to contribute to their healthcare plans starting in August 2021, with annual costs ranging from $2,000-$4,000 depending on the type of plan and being scaled based on salary. While the changes are unfortunate, the CEO believes the company and employees can adapt together.

    Original Title

    bad memo project-ethan

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The CEO informs employees that healthcare costs have risen 47% over the past 20 years, resulting in an additional $1.2 million cost to the company. As a result, employees will now have to contribute to their healthcare plans starting in August 2021, with annual costs ranging from $2,000-$4,000 depending on the type of plan and being scaled based on salary. While the changes are unfortunate, the CEO believes the company and employees can adapt together.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    36 views2 pages

    Bad Memo Project-Ethan

    Uploaded by

    api-547408352
    The CEO informs employees that healthcare costs have risen 47% over the past 20 years, resulting in an additional $1.2 million cost to the company. As a result, employees will now have to contribute to their healthcare plans starting in August 2021, with annual costs ranging from $2,000-$4,000 depending on the type of plan and being scaled based on salary. While the changes are unfortunate, the CEO believes the company and employees can adapt together.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Imagine Corporation

    Memorandum

    TO: All Employees


    FROM: Ethan Wierenga, CEO
    DATE: January 31, 2021
    SUBJECT: Healthcare Plans

    For the past 20 years, we have been able to provide you, my valued employees, excellent
    healthcare options. This includes the company covering all costs in the medical-benefits plan,
    with only a small copay of $10 per service. When this agreement was instated 20 years ago, the
    average costs were $8,500 per employee, and it has been my personal pleasure to be able to offer
    this.

    Unfortunately, the costs per plan on average have increased to $12,500. The resulting 47%
    increase has led to an additional cost to the company of $1.2 million.. While we strive to provide
    everyone with outstanding benefits, we are no longer able to financially provide the current
    option. Throughout the past several months, I have worked personally with HR and the Finance
    department to determine the next best steps, and what we can do to provide for you. This
    decision has been hard to make; however, the current plan can no longer exists in its current
    form. We as a company are going to be able to cover 80% of the costs, but not all.

    Plan Changes
    Starting August 1st, 2021:

     Average individual plans will be $2,000 per year.


     Average spouse or single dependent will be $3,000 per year.
     Average family plan of 3 or more will cost $4,000 per year.
     Co-Pay will rise from $10 to $15 per service or office visit.
    In order to accommodate you the best we can, annual costs will be individually scaled based on
    current salary. To keep the business running as successfully while carrying as small of burden as
    possible, those who make more will be charged slightly more than those who make less. We
    understand how this may affect your financials, and due to the personalized nature of the plan we
    are unable to give an exact cost at this time. I will be available for any personal discussion about
    the changes, per appointment starting February 3rd, 2021 for those who have any questions.
    Reach out to me to schedule a time. For those who wish to get more detailed personalized
    quotes, please contact James from finance ([email protected]).

    While this change affects everyone, I believe we as a team can come together and adapt to the
    change. It is and will always be part of my core values to care for you all, and I wish you the
    best. Please do not hesitate to contact me regarding changes.

    You might also like