Walmart announced Tuesday it will close all 51 of its health centers and shut down its virtual care service after determining it was “not a sustainable business model.”
The big box chain launched Walmart Health and Walmart Health Virtual Care in 2019 across five states — Arkansas, Florida, Georgia, Illinois, Missouri and Texas — with the goal of helping customers save money on various health care needs.
“This is a difficult decision, and like others, the challenging reimbursement environment and escalating operating costs create a lack of profitability that make the care business unsustainable for us at this time,” the company said in a statement.
Walmart will continue to operate its thousands of vision centers and pharmacies.
There is no date for the closures set yet, the company said, but there are plans in place for the associates who worked at the health centers. Those associates will receive 90 days of pay until they transfer to another Walmart or Sam’s Club location or leave the company. After the 90 day-period, they will be eligible for severance benefits, Walmart said.
“Our priority will be ensuring the people and communities who are impacted are treated with the utmost respect, compassion and support throughout the transition,” the company added.
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