Distressed by baby controversy, AOL’s Armstrong reverses 401(K) policy
In a letter to employees, AOL CEO Tim Armstrong reversed the company's recent decision to change some 401(k) benefits. The move had caused controversy inside the company, especially after Armstrong made a mess of an already tense situation with staffers by rationalizing the cuts because of higher healthcare costs.
Worse still, he used the example of two "distressed babies" of employees — claiming each cost $1 million to care for — as one of those expenses.
—By Kara Swisher, recode.net.
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