Jump to content

Stephen J. Hemsley

From Wikipedia, the free encyclopedia

Stephen J. Hemsley
Born (1952-06-04) June 4, 1952 (age 73)
EducationFordham University
Occupation(s)Chair Of The Board at UnitedHealth Group Inc, Businessman
SpouseBarbara K. Hemsley

Stephen J. Hemsley (born June 4, 1952)[1][2] is an American businessman who is the chair of the board and chief executive officer of UnitedHealth Group Inc. In August 2017, UnitedHealth announced that Hemsley would be stepping down after more than a decade as CEO and starting a newly created role of executive chairman of the board.[3] Stephen J. Hemsley returned to his prior post on May 13, 2025, after being reappointed as CEO.[4][5]

A lawsuit was filed against Hemsley, then UnitedHealthcare CEO Brian Thompson, and two other senior executives in May 2024 for alleged fraud and insider trading due to failing to disclose an antitrust investigation into the company by the United States Department of Justice and by selling stock options before the probe was made public.[6][7][8] Data concerning these allegations and notice of its report to the Securities and Exchange Commission was initially published in the Minnesota Star Tribune in February 2024.[9]

Early life and education

[edit]

Stephen J. Hemsley was born in 1952. He graduated from Fordham University in 1974.[10]

Career

[edit]

Hemsley began his career at Arthur Andersen, where he served as Managing Partner and Chief Financial Officer. In 1997, he joined UnitedHealth Group, initially serving in senior financial roles.

He became President and Chief Operating Officer in 1999, and in 2006, he was appointed Chief Executive Officer (CEO), succeeding William W. McGuire. Hemsley led the company through significant growth and expansion, including the diversification of its health services and technology capabilities through its Optum subsidiary.

Under Hemsley’s leadership, UnitedHealth Group consistently ranked among the top U.S. companies by revenue and became a major force in managed care, data analytics, and pharmacy services. He was widely credited with driving operational efficiency and helping position the company as a dominant player in the evolving U.S. healthcare landscape.

In 2017, Hemsley stepped down as CEO and transitioned to the role of Executive Chairman of UnitedHealth Group.

In the mid-2000s, UnitedHealth Group was investigated for its handling of stock options backdating, a practice that involved altering the grant dates of stock options to benefit recipients.

While earlier company-led investigations largely cleared Hemsley of wrongdoing, a 2008 shareholder lawsuit alleged he had a more direct role than previously disclosed. The U.S. Securities and Exchange Commission (SEC) continued its investigations and ultimately reached settlements in 2008 with the company and its former general counsel. Hemsley was not personally charged or penalized by the SEC in connection with the matter.

Compensation

[edit]

Business Week reported his annual salary as $14,518,164.[11] For 2016, his compensation was estimated at $31.3 million, representing a 55.8 percent increase compared to 2015,[12] which was estimated at $14,500,000 by FierceHealthcare.[13]

Forbes magazine ranked him at 269th in its 2009 Special Report on CEO Compensation.[14] According to bizjournals.com the country's highest-paid CEO, Hemsley, made $101.96 million in 2010.[15] In 2011, he was named the highest paid CEO by Forbes following a large gain in the value of his stock ownership.[16] In late 2011, Hemsley's most recent annual compensation was estimated by Forbes at $48.8 million.

In 2025, following his return as CEO of UnitedHealth Group, Hemsley was awarded a compensation package that included $60 million in stock options, set to vest over three years, along with a base annual salary of $1 million.[17]

Other positions

[edit]

He is a trustee of the University of St. Thomas, Minnesota, and of Minnesota Public Radio. He is a member of the National Executive Board of the Boy Scouts of America, the organization's governing body.[18]

References

[edit]
  1. ^ "Stephen J Hemsley, (952) 473-2514, 622 Ferndale Rd, Wayzata, MN". nuwber.com. Retrieved December 30, 2024.
  2. ^ "Stephen Hemsley — OfficialUSA.com Records". www.officialusa.com. Retrieved December 30, 2024.
  3. ^ Murphy, Tom (August 16, 2017). "UnitedHealth CEO to step down after more than decade". MSN. Associated Press.
  4. ^ Genovese, Daniella (May 13, 2025). "UnitedHealth Group names new CEO, shares slide". FOXBusiness. Retrieved May 13, 2025.
  5. ^ "UnitedHealth Group Announces Leadership Transition". www.unitedhealthgroup.com. Retrieved May 13, 2025.
  6. ^ Towfighi, John; Goldman, David (December 4, 2024). "Who was Brian Thompson, the CEO of UnitedHealthcare fatally shot in Manhattan?". CNN. Retrieved December 4, 2024.
  7. ^ "UnitedHealth chair, execs sold $102M in stock before DOJ probe became public". Crain's New York Business. April 16, 2024. Retrieved December 5, 2024.
  8. ^ Graig Graziosi (December 5, 2024). "UnitedHealthcare CEO gunned down in Manhattan sold company stocks just before DOJ probe made public". The Independent. Retrieved December 5, 2024.
  9. ^ "Databank - Insider Trading". Minneapolis Star-Tribune. February 26, 2023.
  10. ^ "Stephen J. Hemsley". NNDB.
  11. ^ Stephen Hemsley: Executive Profile & BiographyBusiness Week
  12. ^ "CEO Pay Watch: UnitedHealth's Stephen Hemsley made $31.3 million last year". Star Tribune. Retrieved May 22, 2017.
  13. ^ [1] by Leslie Small, in FierceHealthcare April 24, 2016]
  14. ^ Special Report on CEO CompensationForbes
  15. ^ "Unitedhealthcare's unspoken lobbying". June 3, 2011. Retrieved June 5, 2011.
  16. ^ "#1 Stephen J Hemsley". Forbes. April 13, 2011.
  17. ^ Tozzi, John; Swetlitz, Ike (June 2, 2025). "UnitedHealth Investors Back CEO's $60 Million Pay Package". Bloomberg. Retrieved June 3, 2025.
  18. ^ Boy Scouts of America Annual Report 2011 Archived 2012-11-14 at the Wayback Machine
Retrieved from "https://en.wikipedia.org/w/index.php?title=Stephen_J._Hemsley&oldid=1295779859"