CVS Health Lays Off Employees

(Reuters) – CVS Health announced on Tuesday that it will lay off approximately 2,900 employees, which represents less than 1% of its workforce. This decision is part of the company’s effort to cut costs.

The layoffs will primarily affect corporate roles rather than frontline positions in stores, pharmacies, and distribution centers.

On Monday, Reuters reported that CVS is considering options that may include separating its retail and insurance units to improve its performance amid investor pressure.

In August, CVS disclosed a multi-year plan aimed at saving $2 billion by streamlining operations and implementing artificial intelligence and automation throughout its business.

Last year, the company also eliminated around 5,000 non customer-facing roles as part of its restructuring efforts.

Media outlets such as CNN and STAT News reported on the job cuts.