Walmart to close all of its health centers

Walmart has announced it will close all 51 of its health clinics and shut its virtual health care operations, saying it could not see it as a sustainable business model to continue, according to a report from Reuters.

Walmart launched the health centers in 2019.

“The decision to close all 51 health centers across five states and shut down the virtual care offering was not easy. We understand this change affects lives – the patients who receive care, the associates and providers who deliver care and the communities who supported us along the way. 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,” Walmart said in a press release announcing the closures.

While Walmart will no longer run the health centers, the retailer will continue to operate pharmacies and more than vision centers.

It isn’t clear how many positions Walmart will eliminate due to the closures, the company says eligible employees will be able to transfer to other Walmart or Sam’s Club locations.