Walgreens In Trouble?

Here are the details.

Walgreens shares recently fell after they announced that they were facing rising labor costs.

According to CNBC, Executives for Walgreens said they must increase wages because their pharmacy staff is having difficulty dealing with both filling prescriptions and administering vaccines to customers which has overwhelmed their system due to the COVID-19 pandemic and omicron variant.

Walgreens shares were down 1% Thursday afternoon after it rose roughly 4% during premarket trading.

Walgreens Chief Financial Officer James Kehoe admitted they are preparing to spend $120 million more on wages to compete with other companies.

“There’s been a high level of stress in the system,” he said during a recent telephone conference.

So far Walgreens has given out 15.6 million Covid vaccines in their first quarter. This brings their grand total to 56 million given to date.