Hartford Business Journal

www.HartfordBusiness.com • April 2, 2018 • Hartford Business Journal 11 Cigna's and Info- sys' arrangement could expand. "It's not a quid pro quo, but it helps them be (more) competi- tive when they bid with us for work," Boxer said. Meantime, Hartford Health- Care has invest- ed many millions of dollars into its electronic medi- cal record sys- tem. It has also forged a new tech partnership with General Electric focused on radiology imaging, and has integrated a mobile app for patients using its expanding GoHealth urgent-care network. "Health care as an industry is mov- ing to digital in a very significant way," Joseph said. He said Hartford HealthCare and Infosys have no existing business rela- tionship, and he can't yet say whether or not that will change when the company builds out its presence in the Capital City. At least for now, many of the direct benefits for Hartford HealthCare stem from the broader economic impact of Infosys' move. "The reason I like it is primar- ily, if not solely, around the oppor- tunity for eco- nomic develop- ment in the state," Joseph said. "That in and of itself is a remarkably important driver of the health of my organization." If the state's budget is healthier because of a new business and its employees and the taxes they pay, it could mean hospitals like Joseph's, which have battled the state over its provider tax, see increased funding in the future. "I assure you that is the central is- sue here," he said. DECD: No outsourcing concerns The Department of Economic and Community Development's offer of $14 million in incentives to entice Infosys to Hartford stands in contrast to a contro- versial situation just four years ago. In 2013, several Connecticut politi- cians — including current House Speaker Joe Aresimowicz (D-Berlin) and U.S. Sen. Richard Blumenthal — publicly shred- ded an outsourc- ing deal involving Infosys and Ever- source predeces- sor Northeast Utilities. Approximately 200 IT workers lost their jobs after the merger of Northeast Utilities and NStar, with some — including one former employee who appeared on the TV program "60 Minutes" — reporting they had been required to train their lower-cost replacements, including those on H-1B visas, in ex- change for a severance package. DECD Commissioner Catherine Smith said Infosys plans to hire U.S. workers for its Hartford hub. She also said she has no concerns that there will be outsourcing activ- ity, which could diminish the net economic value of the 1,000 jobs. "I really don't think this is going to be people say- ing 'we're going to let go of 10 people and hire Infosys,' or 'we're going to outsource a whole department,' " Smith said. The formal contract between Infosys and DECD is not yet complete, but Smith said she doesn't expect it to in- clude a provision limiting H-1B labor. "It really was not a central topic," Smith said. "We were sure from day one that the jobs being created were hiring American citizens and putting them to work in Connecticut." Infosys declined to be interviewed for this story, saying it was in a quiet period leading up to its next earnings report. Smith said the biggest reason area employers want to see Infosys expand here is to strengthen the state's pool of tech workers. "That's number one, they need more tech talent and they felt having Infosys here would help them attract that talent," Smith said. The commissioner has experience with Infosys. In her previous job as an executive at ING, she visited the company's Bangalore headquarters in 2005. Though its business model has shifted since then, she said Infosys had a strong reputation among big companies, as it does now. "These guys are incredibly good at training people," she said. Cigna's Boxer sees Infosys' U.S. hiring move — and ramp-ups in hiring among some of its Indian peers in recent years — as part of an evolution aimed at meeting the demands of clients here. He says it's more about talent and depth than using low-cost labor. "When these pure plays all started, the labor arbitrage was a strong mo- tivator," Boxer said. "That's all gone by the wayside." Infosys CEO Salil Parekh is leading the Indian IT company's strategy to hire more American workers at its U.S. job sites. Focus on your jobs and we'll focus on your money. Loans, deposits and cash management – a Simsbury Bank advisor can help build your success. Find your answers: simsburybank.com/commercial Simsbury Bank helps me mind my business. Fast, local decisions and proven solutions customized for how you do business. Commercial Banking Your Way SimsburyBank_QtrHoriz_HBJ_FEB2018.indd 1 2/8/18 2:07 PM "At the end of the day, students go where jobs are, and if we can create an economic environment where they will choose to go to colleges and universities, that tide will lift all ships." Mark Boxer , Global Chief Information Officer, Cigna Construction coalition ad campaign spotlights CT's infrastructure crisis A coalition of construction unions and trade associations has launched a seven-figure advertising campaign to bring attention to Connecticut's infrastructure crisis. Move CT Forward plans to under- score how poorly state leaders have managed Connecticut's infrastructure, while allowing it to "deteriorate." A television ad titled "Broken Windows" began airing March 28, in addition to new ads on radio and online, they said. The coalition comprises the Con- necticut Construction Industries Association, International Union of Operating Engineers Local 478 and the New England Region of Laborers International Union of America. Don Shubert, president of CCIA, pressed lawmakers for immediate action after they have neglected roads and bridges across the state. The coalition said the state has sus- pended $4.3 billion in transportation projects due to funding shortages. The coalition said it is prioritizing an "immediate fix" and long-term solutions for the current revenue shortfall in the state's Special Trans- portation Fund. It wasn't immediately clear what policy actions they support. In his final year in office, Gov. Dannel P. Malloy has pushed for Connecticut highway tolls, saying the only way to fix the state's transportation system issues is to raise new revenues to sup- port roads and bridge projects. Malloy has also proposed a 7-cents- per-gallon hike in the state's 25-cent gasoline tax, which he said would also bolster the state's transportation fund. Connecticut roads are ranked among the worst across the nation, according to national transportation research group TRIP. The group reports that 57 percent of the state's roads are in "poor condi- tion" and 33 percent of bridges are "structurally deficient or functionally obsolete."

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