Amazon plans to open 20 clinics for its employees, operated by Crossover Health. The clinics will include primary care, behavioral health services, and physical therapy. Photo credit: Amazon.
Another big retailer is getting into primary care. Amazon.com Inc. will open 20 clinics for its warehouse employees operated by direct primary care startup Crossover Health, the company announced on Tuesday. The clinics will be located near Amazon’s fulfillment centers and operations facilities, with the first one opening in the Dallas-Fort Worth area.
Earlier this month, Walgreens shared plans to open hundreds of primary care clinics attached to its stores. Walmart, too, has started building health centers attached to its stores, which include primary care, dental, and a number of other common services. While these two efforts are focused on the general public, Amazon’s clinics will be limited to its employees.
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The idea of offering onsite healthcare for employees is not a new concept, especially among large technology companies. In fact, Crossover Health offers similar services for Microsoft and Comcast.
But since Amazon started a much-hyped healthcare venture with Berkshire Hathaway and JP Morgan two years ago, industry experts have been watching for the company’s next move. Earlier this year, Atul Gawande stepped down as CEO of the joint venture, called Haven, though he will still remain on its board. Little has been shared about what Haven has achieved so far.
Two years ago, Amazon acquired online pharmacy startup Pillpack for nearly $1 billion, and earlier this year, Amazon rolled out a telehealth service for its employees. Not to mention its large employee base — the primary care pilot is expected to provide care for 115,000 employees and their families.
Interestingly, Amazon is calling the clinics Neighborhood Health Centers. It plans to start with five locations: Dallas, Phoenix, Louisville, Detroit and California’s San Bernardino Valley. Crossover Health already has one site open in Las Colinas, Texas, according to its website.
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“Across the U.S., an increasing number of patients do not have easy access to a primary care physician and instead utilize emergency or urgent care options, which is not only more expensive for patients, but also overlooks important preventative care opportunities,” Amazon Vice President of Human Resources Darcie Henry said in a news release.
The clinics will provide primary care and behavioral health services, physical therapy, pediatric services and health coaching. If the pilot is successful, Amazon said it would expand it to more cities.
The company also touted its employee benefits with the announcement, despite recent investigations as to whether the company provided adequate safety measures for its employees in light of the Covid-19 outbreak.
In an emailed statement, Amazon said it has invested $800 million in response to the pandemic, including thermal cameras, masks, handwashing stations and testing supplies.
The New York attorney general’s office has reportedly been interviewing workers about claims that they faced retaliation for speaking up about warehouse conditions, according to CNBC. At least nine Amazon workers have died from Covid-19.