Healthcare Jobs Boom: Demand Soars as Workforce Shifts

Cigna cuts 2,000 jobs despite strong earnings, as healthcare sector sees rapid growth and rising wages

Published on Feb. 15, 2026

Got story updates? Submit your updates here. ›

Despite reporting better-than-expected fourth-quarter 2025 earnings, Cigna Group is cutting approximately 2,000 jobs, representing roughly 3% of its 73,500-person workforce, by the end of February 2026. The layoffs are attributed to the company's efforts to drive 'greater efficiency across the business' amid increasing healthcare costs and regulatory pressures. Meanwhile, the healthcare and social assistance sector continues to demonstrate robust growth, now accounting for approximately 15% of all jobs in the United States.

Why it matters

The healthcare industry's rapid expansion, driven by factors like the aging U.S. population and rising wealth among older Americans, has translated into higher wages for healthcare professionals. However, challenges remain, including obstacles for foreign healthcare workers seeking employment in the U.S. and the potential impact of policy changes on healthcare demand, particularly in rural areas.

The details

Cigna's 2026 earnings guidance of $30.25 per share fell short of Wall Street projections, potentially contributing to the cost-cutting measures. The company did not disclose specific details regarding which departments or geographic regions would be most affected by the workforce reduction. Affected employees will receive severance packages and support services, though the terms of these packages have not been publicly released.

  • Cigna is cutting approximately 2,000 jobs by the end of February 2026.
  • The healthcare and social assistance sector now accounts for approximately 15% of all jobs in the United States, nearly double the share it held in 1990.

The players

Cigna Group

A health insurance company that is cutting approximately 2,000 jobs, representing roughly 3% of its 73,500-person workforce, by the end of February 2026.

Neale Mahoney

An economics professor at Stanford University who has analyzed the growth in healthcare hiring, particularly in mid-level positions like physician assistants and nurse practitioners.

Brandon Rees

A critical care nurse in Fort Wayne, Indiana, who secured a position earning $34 ($56) per hour, a significant increase from her previous career as a software developer.

Bryan Samuelson

A registered nurse in Portland, Oregon, who now earns more than double his previous salary as a software test engineer.

Sam Kuhn

An economist at Appcast who predicts 'acute labor shortages' in healthcare, particularly as immigration levels remain restricted.

Got photos? Submit your photos here. ›

What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

The takeaway

The healthcare industry's rapid growth and rising wages for professionals highlight the sector's resilience, even as other industries face potential slowdowns. However, challenges like staffing shortages and policy changes could impact the industry's continued expansion.