Between a week before Halloween and two days before the end of the year, 157 people will be laid off who work in non-consumer facing jobs for the Aetna Inc. office in Blue Bell, which is owned by CVS Health, according to the Pennsylvania Department of Labor & Industry.
Rhode Island-based CVS Pharmacy is poised to layoff its workforce at their Whitpain Township location at 1425 Union Meeting Road between October 21 and December 30, per an August 2023 Worker Adjustment and Retraining Notification Act report.
The WARN notice is required under the eponymous Act to give advanced notice in cases of mass layoffs, according to the Department of Labor. A worker’s guide to WARN Act Compliance Assistance is available here.
Aetna Inc. became a subsidiary of CVS Health on Nov. 28, 2018 in a $69 billion merger.
The Montgomery County layoffs are a casualty of the 5,000-plus employee layoffs occurring nationwide as a way to reduce labor costs and prioritize direct care. The office building is not closing.
According to the U.S. Securities & Exchange Commission, the 5,000 layoffs account for about 2% of the CVS Health/Aetna workforce. According to the South Florida Sun Sentinel, the nationwide layoffs will occur in the same October-December timeframe.
The report states that the layoffs include managers, supervisors, analysts, data engineers, customer care pharmacists, actuary executives, and pharmacy call center technicians.
“As a result of this decision, employee terminations will be conducted beginning on October 21, 2023,” wrote Jennifer Bailey, a CVS labor relations executive for the company, to the newspaper. “All employees who will be terminated as a result of this action have been notified of their specific separation dates and that their separation from employment will be permanent.”
In a statement, CVS Health said there will be no impact to “our customer-facing colleagues in our stores, pharmacies, clinics, or customer services centers.”
At present, the $11 million-assessed, 172,000-plus-square-foot, 18-acre property is off-market. The general office building was built in 1990, according to online reports. It is currently owned by Aetna Life Insurance Co., in care of CVS, since December 2001, according to county property records.
Earlier this year, CVS Health acquired Signify Health in an $8 billion deal, which boasts more than 10,000 clinicians in its network in every state, and primary care provider Oak Street Health for $10 billion.
According to Becker’s Hospital Review, CVS has notified proper agencies of layoffs in eight other states, including more than 200 jobs in New Jersey. The most layoffs – more than 700 – are occurring in Woonsocket, Rhode Island, the company’s headquarters.
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