Business Optimization Initiatives

12 Months Ended

Dec. 31, 2020

Business Optimization Initiatives [Abstract]

We believe that our properties are adequate and suitable for our business as presently conducted; however, we are continuing to evaluate our real estate strategy as it relates to the changing needs of a more hybrid remote workforce. As a result, during 2022, we identified additional reductions of office space and recorded a net charge of $39 in selling, general and administrative expenses. This charge includes $34 for impairment and abandonment of operating-lease related ROU assets and $7 for impairment and abandonment of property and equipment. In addition, we released $2 of employee termination costs, as reflected in the table below. The net charges recognized in the Commercial & Specialty Business, Government Business, CarelonRx and Other segments in 2022, were $20, $16, $0 and $3, respectively. See Note 20, “Segment Information” for a discussion of our segments.

During 2021, we identified reductions of office space and recorded a charge of $202 in selling, general and administrative expenses. This charge included $136 for impairment and abandonment of operating-lease related ROU assets and $66 for impairment and abandonment of property and equipment. The charges recognized in the Commercial & Specialty Business, Government Business, CarelonRx and Other segments in 2021, were $108, $60, $1 and $33, respectively.

During 2020, our management introduced enterprise-wide initiatives to optimize our business and, as a result, we recorded a charge of $653 in selling, general and administrative expenses. This charge included $258 for impairment and abandonment of operating-lease related ROU assets, $198 for impairment and abandonment of property and equipment and $197 for future payments for employee termination costs in connection with the repositioning and reskilling of our workforce. The charges recognized in the Commercial & Specialty Business, Government Business, CarelonRx and Other segments in 2020, were $311, $205, $4 and $133, respectively.

A summary of the activity for the year ended December 31, 2022 and ending balance at December 31, 2022, related to the liability for employee termination costs previously incurred in 2020, is as follows:


	Commercial & Specialty Business		Government Business		CarelonRx		Other		Total
2020 Business Optimization Initiatives

Liabilities for employee termination costs at January 1, 2022	$	61	$	57	$	1	$	3	$	122
Payments	(20)		(18)		—		(1)		(39)
Releases	—		—		—		(2)		(2)
Total liabilities for employee termination costs ending balance at December 31, 2022	$	41	$	39	$	1	$	—	$	81