LOUISVILLE, Ky. (WDRB) -- More than 800 layoffs announced Wednesday by CoverMyMeds, a unit of pharmaceutical distribution giant McKesson Corp., will include employees based in Louisville, according to memos obtained by WDRB News and workers who are affected.
CoverMyMeds includes the remnants of RxCrossroads, a 22-year-old Louisville-founded company that, after several corporate mergers, ultimately became part of Irving, Texas-based McKesson in 2017.
RxCrossroads’ business includes a specialty pharmacy that fills prescriptions for patients who can’t get them through normal retail pharmacies, such as drug manufacturers’ patient assistance programs, according to employees.
In 2021, McKesson consolidated RxCrossroads and other divisions under the CoverMyMeds brand.
CoverMyMeds, based in Columbus, Ohio, is eliminating 815 jobs by mid-April, McKesson CEO Brian Tyler said in an employee email obtained by WDRB News.
The company is cutting its physical footprint in Columbus; North Druid Hills, Georgia; and Scottsdale, Arizona, according to Tyler’s email. A separate email from CoverMyMeds leadership confirms that Louisville-based employees are also affected.
"CoverMyMeds remains a growth priority for our company, and the difficult steps we are taking today will help us achieve our strategic objectives and set CoverMyMeds on a path of long-term sustainable growth," Tyler told employees in the email.
McKesson declined to say how many Louisville-based employees are affected, nor describe the company’s local operation.
RxCrossroads by McKesson operates a distribution center and office at 5101 Jeff Commerce Drive in the Okolona neighborhood. When the facility was announced in 2016, the company said it would employ 400 there, WDRB News reported at the time.
"Our commitment is to do everything we can to support our teammates through this transition with care and respect, and employees who are separated as a result of these role eliminations," said CoverMyMeds spokesperson Angela Tavrell.
The memo from the CoverMyMeds leaders says the company will continue to operate three business lines in Louisville: third-party logistics, pharmacy and Patient Support Center or "PSC". However, PSC employees in Louisville who are not laid off will have the choice of working from home or moving to Columbus, where the company is consolidating its PSC, according to the memo.
