CVS: 10 Who Made a Difference in RI in 2024
GoLocalProv Business Team
CVS: 10 Who Made a Difference in RI in 2024
The Department of Justice in December took a major legal action against the CVS for its role in the opioid crisis and the U.S. Attorney for Rhode Island Zachary Cunha said, “When corporations such as CVS prize profits over patient safety and overburden their pharmacy staff so that they cannot carry out the basic responsibility of ensuring that prescriptions are legitimate, we will use every tool at our disposal to see that they answer for it.”
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLAST
In 2024, the company laid off thousands.
Hundreds in Rhode Island.
CVS’s stock plummeted, and it was forced to repeatedly restate its financial projections downward due to economic failures.
CEO Karen Lynch lost her job.
The basic structure of the company is under attack both internally and externally.
A group of investors are pushing to split up the company, and a significant group of bi-partisan legislators want the PBM function striped out.
Republican Senator Josh Hawley of Missouri and Democratic Senator Elizabeth Warren of Massachusetts are leading the effort in Congress to force the divestment of PBMs.
“PBMs have manipulated the market to enrich themselves — hiking up drug costs, cheating employers, and driving small pharmacies out of business,” said Warren in a statement. “My new bipartisan bill will untangle these conflicts of interest by reining in these middlemen.”