CVS Well being is shedding roughly 2,900 staff throughout its firm and impacted positions are “primarily company roles,” Mike DeAngelis, govt director of company communications, confirmed to USA TODAY Tuesday.
“Our trade faces continued disruption, regulatory pressures, and evolving buyer wants and expectations, so it’s vital that we stay aggressive and function at peak efficiency,” DeAngelis stated in an emailed assertion to USA TODAY.
DeAngelis additionally stated within the assertion that the corporate “prioritized value financial savings all over the place we may, together with closing open job postings,” earlier than making the choice, and likewise stated the layoffs “is not going to influence front-line jobs in our shops, pharmacies, and distribution facilities.”
“Choices on which positions to get rid of had been extraordinarily tough,” DeAngelis stated, noting that the departing staff will obtain severance pay and advantages. The layoffs signify lower than 1% of the corporate’s workforce, DeAngelis stated.
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CVS Well being had one other spherical of layoffs final 12 months
CVS Well being additionally eradicated about 5,000 “non customer-facing” positions in an effort to cut back prices in 2023.
The cuts represented lower than 2% of the corporate’s whole workforce, which comprised of roughly 300,000 staff on the finish of 2022.
“Our trade is evolving to adapt to new client well being wants and expectations. As a part of an enterprise initiative to reprioritize our investments round care supply and know-how, we should take tough steps to cut back bills,” the corporate instructed USA TODAY in 2023.
Earlier in 2023, the corporate accomplished a $10.6 billion deal to purchase Oak Avenue Well being, an organization that runs main care facilities for lower-to-middle revenue individuals with Medicare Benefit plans, that are privately run variations of the federal authorities’s program for individuals aged 65 and older.
With the acquisition, CVS Well being deliberate to capitalize on the federal authorities’s curiosity in reducing prices and bettering the well being of individuals in its Medicare program.
“This settlement with CVS Well being will speed up our capacity to ship on our mission and proceed bettering well being outcomes, reducing medical prices, and offering a greater affected person expertise whereas providing important worth to our shareholders,” Oak Avenue Well being CEO Mike Pykosz stated on the the time of the deal.
Gabe Hauari is a nationwide trending information reporter at USA TODAY. You possibly can observe him on X @GabeHauari or e-mail him at [email protected].