Walmart Shutters All 51 Health Centers, Telehealth Offering

What You Should Know: 

– Walmart announced today the difficult decision to close all 51 Walmart Health centers and discontinue its virtual care offering. This comes after five years of operation for the health centers.

– The company cited a “challenging reimbursement environment and escalating operating costs” as reasons for the closure. This highlights the difficulty of establishing a profitable healthcare business model, especially in the current environment.

Priority Shift on Profitable Existing Strengths: Pharmacies and Vision Centers

Despite closing the health centers, Walmart remains committed to providing healthcare services through its extensive network of nearly 4,600 pharmacies and over 3,000 vision centers. These established businesses offer a range of services, including:

• Immunizations
• Testing and treatment services
• Specialty pharmacy medication and care
• Medication therapy management
• Health screenings

The company emphasizes the importance of pharmacies, particularly in medically underserved areas where they often serve as the primary point of healthcare access for many communities.

Innovation Continues in Other Healthcare Services

Walmart highlights its ongoing commitment to healthcare innovation through initiatives like:

• The Walmart Healthcare Research Institute
• Development of new health programs
• Expansion of fresh food and OTC (over-the-counter) offerings

Supporting Patients and Employees During Transition

The company assures a smooth transition for patients with ongoing care needs and offers support to impacted associates:

• Patients: Continuity of care will be ensured.
• Associates: All associates will be offered the opportunity to transfer to another Walmart or Sam’s Club location. Those who choose not to transfer will receive 90 days of pay and potentially severance benefits.
• Providers: Partnering providers will continue to serve patients during the closure period and receive compensation for 90 days.

“Today we are sharing the difficult decision to close Walmart Health and Walmart Health Virtual Care. Through our experience managing Walmart Health centers and Walmart Health Virtual Care, we determined there is not a sustainable business model for us to continue,” in an official statement.