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Press Release Story

Aflac Incorporated Responds to Tax Reform with Plan for Additional Investments in the U.S. of $250 million Targeting Workforce, Strategic Allocations for Business Growth, and Renewed and Strengthened Commitment to Childhood Cancer 

COLUMBUS, Ga., Dec. 28, 2017 /PRNewswire/ -- Aflac Incorporated (NYSE: AFL), the leading provider of voluntary insurance sales at the worksite in the U.S. today announced that, as a result of the recent tax reforms enacted by Congress and signed into law by the president, it intends to invest in several key areas that will provide long-term benefits for employees in the form of helping them plan for healthy retirements, enable strategic investments aimed at growing the overall business and strengthen the company's 22-year commitment to supporting childhood cancer initiatives. 

Effective in 2018, Aflac makes the following commitment to our U.S. workforce:

  1. Increase the company's 401(k) match, from 50% to 100% on the first 4% of employee contribution, while making a one-time contribution of $500 to every employee's 401(k) plan.
  2. Offer certain hospital and accident insurance products to all employees free of charge, as the company currently does with its core cancer insurance product.

Aflac expects to increase overall investment in the U.S. by approximately $250 million over three to five years. Strategic investments target continued growth in the company's United States operation, expanded employee benefits and training programs as well as investing in technology and digital businesses like Empowered, a company headquartered in North Carolina and owned by Aflac which recently expanded its office space to accommodate growth. Finally, Aflac will continue a long tradition of giving back to the community with a renewed and strengthened focus on the company's long-term commitment to childhood cancer programs.

"We are pleased that these tax reforms provide Aflac with an opportunity to increase our investments in initiatives that reflect our company values; providing for our employees in the long and short term, ensuring future growth for our company and giving back to the community," Aflac Chairman and CEO Dan Amos said. "We will use these funds to help secure healthy retirements, develop employee skills in an evolving global business climate, and provide additional protections for our workers and their families. At the same time, we will strategically invest in growing our business, while increasing our commitment to children and families facing childhood cancer."

Aflac, which has been named to Fortune's list of the 100 Best Companies to Work For for 19 consecutive years, has a lengthy history of ensuring employees share in the company's success. In addition to 401(k) contributions, the company provides annual profit-sharing bonuses to all employees based on company and individual performance. Aflac offers scholarships for children and grandchildren of employees as well as providing the largest on-site child care facility of any company in the state of Georgia. At the same time, Aflac has remained the leader in its industry while growing to insure more than 50 million people worldwide. The company has also raised and contributed more than $120 million for the research and treatment of childhood cancer.

About Aflac

When a policyholder gets sick or hurt, Aflac pays cash benefits fast. For more than six decades, Aflac insurance policies have given policyholders the opportunity to focus on recovery, not financial stress. In the United States, Aflac is the leader in voluntary insurance sales at the worksite. Through its trailblazing One Day PaySM initiative, Aflac U.S. can receive, process, approve and disburse payment for eligible claims in one business day. In Japan, Aflac is the leading provider of medical and cancer insurance and insures 1 in 4 households. Aflac insurance products help provide protection to more than 50 million people worldwide. For 11 consecutive years, Ethisphere has recognized Aflac as one of the World's Most Ethical Companies. In 2017, Fortune magazine recognized Aflac as one of the 100 Best Companies to Work for in America for the 19th consecutive year and in 2017 included Aflac on its list of Most Admired Companies for the 16th time. Aflac Incorporated is a Fortune 500 company listed on the New York Stock Exchange under the symbol AFL. To find out more about Aflac and One Day PaySM, visit aflac.com or aflac.com/espanol.

Aflac herein means American Family Life Assurance Company of Columbus and American Family Life Assurance Company of New York.

Media contacts – Jon Sullivan, 706.763.4813 or jsullivan@aflac.com 
Aflac analyst and investor contactDavid A. Young, 706.596.3264 or 800.235.2667, FAX 706.324.6330, or dyoung@aflac.com

Aflac Logo. (PRNewsFoto/Aflac)

 

SOURCE Aflac