CVS Fined $1.5M by Ohio for Safety and Staffing Violations

CVS Health has been fined more than $1.5 million by Ohio regulators in connection with patient safety and staffing violations at some of its pharmacies. The penalty stems from a settlement of 27 cases that involved various safety issues uncovered during inspections of 22 CVS pharmacy locations between 2020 and 2023, according to the State of Ohio Board of Pharmacy.

As part of the settlement agreement, CVS will pay a fine of $1.25 million, with an additional $250,000 allocated to cover the costs of enhanced monitoring over the next three years. The issues identified during the inspections included improper drug security, prescription delays, errors in dispensing medications, and a lack of cleanliness. Other violations involved understaffing, failure to report losses of controlled substances, and general concerns about patient safety.

Staffing Shortages and Labor Issues in Pharmacies

The fines come at a time when pharmacies nationwide are grappling with labor shortages and staffing challenges. Pharmacists, in particular, have raised concerns about unsafe working conditions due to high workloads and understaffing. This was highlighted last fall when some Walgreens and CVS pharmacy workers staged walkouts to draw attention to the issue.

The Ohio Board of Pharmacy has also taken additional steps to address the root causes of these problems. As part of the settlement, CVS has agreed to comply with a new set of rules aimed at improving working conditions in pharmacies. These rules include requirements for pharmacies to implement staffing processes, offer mandatory rest breaks for pharmacy personnel, and ban the use of quotas that could compromise patient safety. Additionally, pharmacies must ensure medications are dispensed in a timely manner to prevent delays that could jeopardize patient health.

Pharmacy Expansion Plans Amid Regulatory Challenges

Despite the recent fines and challenges related to staffing, CVS is continuing to focus on expanding its pharmacy business. In its fourth-quarter earnings call, CVS indicated that it expects its pharmacy segment to remain profitable in the coming year. However, the company will need to address regulatory scrutiny and labor issues as it continues to grow its pharmacy operations.

As part of the settlement, eight CVS stores in Ohio will be placed on probation for three years. These stores will be subject to stricter oversight to ensure they comply with new safety and staffing regulations, underscoring the importance of improving working conditions and maintaining high standards of patient care across the pharmacy network.