Walmart Ditches Health Centers and Virtual Care Service Amid Economic Uncertainty

The retail giant, Walmart, has announced the closure of its health centers and virtual care service after struggling to find success with these offerings. Bentonville, Arkansas-based company had 51 health centers in five states, with the first one opening in 2019. However, Walmart cited the challenging reimbursement environment and escalating operating costs as factors that have made the care business unsustainable for them at this time.

This decision comes as a surprise, as Walmart had previously announced plans to add more than two dozen health centers to some of its stores this year. The company had been looking to open 28 new centers in 2024, focusing on areas like Dallas, Houston, Phoenix, and Kansas City, Missouri. However, the realization of the unsustainable business model has led to the closure of the existing health centers.

While Walmart does not have specific dates for when the health centers will close, they have stated that employees are eligible to transfer to any other Walmart or Sam’s Club location. Despite closing its health centers and virtual care service, Walmart will continue to operate almost 4,600 pharmacies and more than 3,000 vision centers in the U.S.