CVS fined $1.5M by Ohio for safety violations
OAN’s James Meyers
9:24 AM –Friday, March 1, 2024
Retail chain pharmacy CVS Health will pay a hefty $1.5 million penalty to Ohio for issues related to understaffing, sparking mandatory changes for all retail pharmacies in the state, as announced by the Ohio Board of Pharmacy on Thursday.
The penalties, the largest ever imposed by the state board, stem from 27 safety cases investigated at 22 CVS pharmacies.
These cases, which occurred between 2020 and 2023, raised concerns about safety and potential legal violations, with understaffing being a significant contributing factor.
Inspectors discovered insufficient staff to handle the prescription volume, dispensing errors, unsanitary equipment, expired medications, uncleanliness throughout the pharmacies, inadequate drug security, and failure to report controlled substance losses, among other issues.
“By entering into this settlement agreement, the Board seeks immediate and systemic changes to protect patients and address critical understaffing,” emphasized Steven Schierholt, executive director of the State of Ohio Board of Pharmacy. “We believe that this agreement is an acknowledgment by CVS that considerable changes are warranted to ensure the safe practice of pharmacy at their retail stores.”
Under the agreement, the eight stores with the most severe staffing problems will undergo “advanced monitoring” by the board, funded by CVS, for the next three years. The pharmacy has also committed to voluntarily comply with multiple forthcoming state rules focused on patient safety.
Furthermore, the state rules that CVS has agreed to follow may soon apply to all pharmacies in Ohio, with the board expecting to finalize them within the next few months.
Meanwhile, CVS Health, the largest pharmacy in the country in terms of revenue, operates over 9,000 retail locations across America and is also the largest retail pharmacy operator in Ohio.
CVS spokesperson Amy Thibault expressed satisfaction with the agreement, stating that the company is “pleased to have reached an agreement with the Ohio Board of Pharmacy regarding years-old allegations involving some of our Ohio pharmacies.” She added that CVS looks forward to collaborating with the board to enhance their identification systems and continue providing safe, high-quality pharmacy care to patients.
In response to staffing concerns, CVS has made significant hiring efforts and increased wages to address the issue. However, nonunionized workers have continued to voice their concerns, leading to work stoppages at retail chains in the fall.
“We’re committed to ensuring there are appropriate levels of staffing and resources at our pharmacies and are making targeted investments,” Thibault affirmed. “That includes increasing pharmacist wages by approximately $1 billion between 2021 and 2024 and awarding around $70 million in bonuses this year to pharmacists, pharmacy technicians, and other frontline colleagues.”
The Buckeye State settled its 27 cases with CVS for a $1.25 million penalty. The eight stores with the most significant staffing issues will be placed on three-year probation, and the company will pay an additional $250,000 “to cover the cost of enhanced monitoring by the Board.”
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What were the main issues and violations discovered during the inspections at CVS pharmacies in Ohio?
CVS Health to Pay $1.5 Million Penalty to Ohio for Understaffing Issues
Retail chain pharmacy CVS Health will pay a hefty $1.5 million penalty to Ohio for issues related to understaffing, sparking mandatory changes for all retail pharmacies in the state, as announced by the Ohio Board of Pharmacy on Thursday.
The penalties, the largest ever imposed by the state board, stem from 27 safety cases investigated at 22 CVS pharmacies. These cases, which occurred between 2020 and 2023, raised concerns about safety and potential legal violations, with understaffing being a significant contributing factor.
Inspectors discovered insufficient staff to handle the prescription volume, dispensing errors, unsanitary equipment, expired medications, uncleanliness throughout the pharmacies, inadequate drug security, and failure to report controlled substance losses, among other issues.
“By entering into this settlement agreement, the Board seeks immediate and systemic changes to protect patients and address critical understaffing,” emphasized Steven Schierholt, executive director of the State of Ohio Board of Pharmacy. “We believe that this agreement is an acknowledgment by CVS that considerable changes are warranted to ensure the safe practice of pharmacy at their retail stores.”
Under the agreement, the eight stores with the most severe staffing problems will undergo “advanced monitoring” by the board, funded by CVS, for the next three years. The pharmacy has also committed to voluntarily comply with multiple forthcoming state rules focused on patient safety.
Furthermore, the state rules that CVS has agreed to follow may soon apply to all pharmacies in Ohio, with the board expecting to finalize them within the next few months.
Meanwhile, CVS Health, the largest pharmacy in the country in terms of revenue, operates over 9,000 retail locations across America and is also the largest retail pharmacy operator in Ohio.
CVS spokesperson Amy Thibault expressed satisfaction with the agreement, stating that the company is “pleased to have reached an agreement with the Ohio Board of Pharmacy regarding years-old allegations involving some of our Ohio pharmacies.” She added that CVS looks forward to collaborating with the board to enhance their identification systems and continue providing safe, high-quality pharmacy care to patients.
In response to staffing concerns, CVS has made significant hiring efforts and increased wages to address the issue. However, nonunionized workers have continued to voice their concerns, leading to work stoppages at retail chains in the fall.
“We’re committed to ensuring there are appropriate levels of staffing and resources at our pharmacies and are making targeted investments,” Thibault affirmed. “That includes implementing technology to support our pharmacy teams and exploring new ways to recruit and retain talent.”
This settlement with Ohio serves as a reminder to all retail pharmacies of the importance of adequate staffing and adherence to safety standards. Patient safety should always be the top priority, and it is crucial for pharmacies to invest in staffing and resources to ensure the well-being of their customers.
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