Walmart Announces Closure of Health Centers and Virtual Services

Walmart has announced the closure of both Walmart Health centers and Walmart Health Virtual Care, a service launched in 2019. With this change, a total of 51 centers cross 5 states will be shut down.¹

According to a press release, approximately 90% of the US population lives within 10 miles of a Walmart location. Walmart noted that the first center was opened to serve local communities by providing accessible, convenient, and affordable health care as well as creating a “1-stop” model for patients, consisting of doctors, dentists, behavioral specialists, and community health workers. Services provided by Walmart Health centers included primary care, dental care, behavioral health, labs and X-rays, and audiology, as well as telehealth services.²

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In March 2023, plans were announced to expand the service by bringing the Walmart Health footprint to 2 new states, Missouri and Arizona. Additionally, a total of 28 new Walmart Health center locations across Missouri (4 locations in Kansas City), Arizona (6 locations in Phoenix), and Texas (18 total locations; 10 in Dallas and 8 in Houston) were set to open, with the goal of having over 75 locations across the country. In their expansion announcement, Walmart had also noted the plan to update centers by changing the layout to allow patients to spend more time with their providers instead of in a waiting room, as well as integrate equipment to provide best-in-care health care technology (eg, electronic record system across locations) for both patients and providers.²

“With this growth in 2024, we will nearly double our current footprint, offering accessible, convenient and affordable care in 2 new states and expanding our presence in Texas to help the communities we serve live better, healthier lives,” said David Carmouche, SVP of Omnichannel Care, in a press release.²

Despite the plans to close all their health center locations and to cease virtual services, Walmart noted that the effort put into these services will be integrated into their other health and wellness services across the country, including about 4600 pharmacies and over 3000 vision centers. Specifically, Walmart highlights that the significance of pharmacies continue to grow, resulting in their expansion of this service to include immunizations, test-to-treat services (eg, strep throat, flu, and COVID-19 testing), access to specialty pharmacy medications and care, health screenings, and medication management. Additionally, Walmart plans to shift their focus to growing the core businesses while launching additional services, including the Walmart Healthcare Research Institute, food programs, and OTC offerings.^1,3

Further, Walmart emphasizes that providers and associates who will be affected by the closure of the health centers and virtual services will be eligible to transfer to any other Walmart or Sam’s Club location, will be paid for 90 days (unless an employee transfers locations or leaves the company), or will receive severance if eligible (if associates do not transfer or leave after 90 days). Providers will continue to serve current patients while health centers remain open. Currently, there is no specific or set date for when the services will no longer be provided by the company; however, consumers, associates, and providers will be notified once a decision is made.¹

References

1. Walmart. Walmart Health Is Closing. News release. April 30, 2024. Accessed April 30, 2024. https://corporate.walmart.com/news/2024/04/30/walmart-health-is-closing

2. Walmart. Walmart Health Nearly Doubles in Size With Launch Into Two New States in 2024. News release. March 2, 2023. Accessed April 30, 2024. https://corporate.walmart.com/news/2023/03/02/walmart-health-nearly-doubles-in-size-with-launch-into-two-new-states-in-2024

3. Walmart. Walmart's New Testing and Treatment Program Empowers Pharmacists Beyond the Prescription. News release. August 29, 2023. Accessed April 30, 2024. https://corporate.walmart.com/news/2023/08/29/walmarts-new-testing-and-treatment-program-empowers-pharmacists-beyond-the-prescription